UAE energy minister says OPEC ready to cooperate on output cut

Oil prices soared on Friday after the United Arab Emirates’ energy minister Suhail Al Mazroui said OPEC is “ready to cooperate” on cutting output, if the cartel and non-member producers all come to an agreement on the matter.

"The positive thing is the current market is forcing everyone not to increase output," Al Mazroui told Sky News Arabia, adding that he was “optimistic that the balance will happen this year despite the oversupply and stocks overhang.”

In addition, the energy minister said he expects non-OPEC supply to contract by 800,000 barrels per day (bpd), while global demand increases by 1.3 million bpd, which he says will help rebalance the market.

Following the minister’s comments, oil prices recorded their biggest one-day gain since the financial crisis, as Brent Crude surged by nearly 11 percent on Friday to $33.36 per barrel (bbl). West Texas Intermediate (WTI) Crude soared over 12 percent to $29.44/bbl.