Angola is expected to record a loss of around six million dollars / day, as of 1 May, with the cut of 348 thousand barrels in daily oil production, Angop reported last Friday, citing the analyst the Patrício Quingongo sector.
This forecast is based on the agreement reached on April 10 and by the OPEC cartel and other oil-producing countries, which set a target of a 10 million barrel reduction in world production, to balance supply and raise prices.
Angola currently produces 1.4 million barrels of oil / day and will reduce it to 1.180 million barrels, says the Angop text.
The analyst quoted by the Angolan news agency considered it important to materialize the measure, justifying it as the only way to avoid a drop in crude oil to $ 20 / barrel.
The same analyst said that the impact of the cut in oil production will not only be on prices, it will also contribute to the reduction of excess oil in the market, although Angola may see a negative reduction between the fall in oil prices and production .
Angop’s text points out that until May no producer country will want to store oil, hence the need to cut production.
The effects on the world economies of the new viral pneumonia and the price war unleashed in March between Saudi Arabia and Russia caused the price of a barrel of oil to fall.
