Crown Prince: OPEC, Russia mull 10-20 year oil pact

OPEC is working on a plan to have a long-term agreement on oil output controls with Russia and other non-OPEC producers, Saudi Crown Prince Mohammed bin Salman told Reuters on Tuesday.

“We are working to shift from a year-to-year agreement to a 10-20 year agreement,” the Crown Prince said in New York, where he scheduled to attend a “CEO Forum” later today.

"We have agreement on the big picture, but not yet on the detail,” he disclosed.

Last week, Saudi Energy Minister Khalid Al-Falih said OPEC will need to continue coordinating with Russia and other non-OPEC oil-producing countries to extend supply curbs into 2019 to reduce global oil inventories to desired levels.

OPEC and non-OPEC nations agreed last year to cut oil output by 1.8 million barrels a day, or around 2 percent of global production throughout 2017 and 2018.  

Commenting on the Saudi Aramco's floatation, Prince Mohammed said that five percent of the state oil company could take place at the “end of 2018 or early 2019, depending on market conditions.”

The Crown Prince is on his first official to the US and his third foreign trip this year, following visits to Egypt and Britain.