Don't rush us, OPEC: Russia wants more time to mull output cuts

Russia said that it needs more time to decide whether to join any additional oil output cuts recommended by a technical committee from the Organization of the Petroleum Exporting Countries (OPEC) in response to the coronavirus outbreak, Al Jazeera reports.

Russian Minister of Energy Alexander Novak was speaking as OPEC, which is led by cartel kingpin Saudi Arabia, pushes Moscow to make a decision on whether to cut production further to offset dented oil demand resulting from the coronavirus outbreak. 

Saudi Arabia's economy remains reliant on hydrocarbon revenue despite plans to diversify. The kingdom needs prices of around $80 per barrel to balance its state budget, while Russia needs much lower prices of around $42.

A technical panel that advises OPEC and its allies, led by Russia - a grouping known as OPEC+ - proposed on Thursday a provisional cut of 600,000 barrels per day (bpd), three sources told Reuters news agency

Producers in OPEC are scheduled to meet in Vienna on March 5-6, although the meeting could be brought forward depending on how the coronavirus outbreak affects oil prices.

Novak said Moscow needs more time to assess the situation, stopping short of giving a clear Russian position on the proposal. Oil prices have come under pressure recently in the absence of a Russian response to calls for more output cuts.

"I can't tell you about my position right now, maybe we will say it next week," Novak said when asked about Moscow's stance on the matter. "Russia needs a few days for market analysis."