Russia to broach gradual exit from output curbs in 2020, Novak says

Russia will discuss the need for an exit from current oil output curbs during the coming year, the country's energy minister said in an interview.

In remarks to broadcaster Rossiya 24 TV, Alexander Novak, reportedly said that a decision on unwinding the production curbs put in place by the so-called OPEC+ countries should gradually be put in place.

Referring to 2020, Novak said: "I think that we will consider that this year."

Significantly, and echoing some analysts, Novak also pointed out the possibility than world demand for oil might jump in 2020.

As well, he indicated that Russia needed to defend its market share and that Russian companies needed to develop new projects.

OPEC+ members include the cartel's 14 full members and several of the world's other main crude oil producers, chiefly the Russian Federation and Kazhakstan.

Remarks by Russian officials are closely-watched by investors because it is the world's third largest producer, meaning that it was a key player in maintaining the cartel's discipline on production, which was needed to avoid excessive weakness in prices.

Nevertheless, some market observers believed that Moscow was growing weary of the crude oil output curbs.

As recently as early December, OPEC+ nations agreed to deepen their oil output cuts in the first quarter of 2020 to 1.7m barrels a day, with Russia being required to reduce its own production by 70,000 b/d to 300,000 b/d as part of the deal.