"It agrees that there will be too much oil on the market in 2019," Oman Oil Minister Mohammed bin Hamad al-Rumhy told The Wall Street Journal after a ministerial meeting at the OPEC Committee to monitor the oil market. The meeting was held in Abu Dhabi on Sunday.
Oman is not a member of the Organization of Petroleum Exporting Countries (OPEC), but participates in the organization's decisions to regulate production.
The cuts that are being planned make the 15 OPEC countries, which are mostly oil-producing countries in the Middle East, to avoid the dramatic drop in prices.
It was Saudi Arabia and some other oil exporting countries that met in Abu Dhabi this weekend. One of them discussed a cut of petroleum production in a million barrels. The decision will be taken at the OPEC ministerial meeting in Vienna on December 6. Saudi Arabia must be prepared to take half of this court; 500,000 barrels.
Russian Petroleum Minister Alexander Novak told CNBC on Sunday that no precipitation decisions would be made.
"The market is volatile and hasty decisions about production cuts that can make the impacts larger," he said.
He did not rule out that Russia, which is not a member of OPEC, could participate in production cuts in December.
Khalid al-Falih's oil minister said it is too early to say what will be the conclusion of the ministerial meeting in December, but that OPEC will not move away from making the necessary cut.
At the geopolitical level, and not least, US sanctions against Iran create challenges in the oil market. In addition, a significant increase in petroleum production in the United States.
Dramatic fall for North Sea oil
A North Sea oil barrel was traded for about $ 85 in the spot market in mid-October and on Friday it was priced below $ 70, but ended at $ 70.94. This means a 20 percent drop in prices in less than one month.
This can be read about stock prices in oil-related companies. Equinor (formerly Statoil) fell 7.4 percent during the period, Aker BP, which has Kjell Inge Røkke as the dominant owner, fell 21.9 percent. According to Finansavisen, this means that Aker BP on paper has turned into 30 billion worth of valued crowns in a month.
The newspaper summoned the stock exchange last month for deposits in oil related actions.
According to Finansavisen, companies that provide services to oil companies also observed the decline in oil prices. For example, the seismic company Petroleum Geo Services fell 34.1 percent. A third of the value has disappeared.