Reuters ahead with key oil news; market reacts
Reuters was ahead in reporting OPEC is leaning towards extending a deal with Russia and other non-members to cut oil supply for a further nine months, although stronger-than-expected demand growth may allow the group to delay a decision until early 2018. Following the Reuters report, Brent crude oil futures jumped almost 30 cents per barrel, ending the day just shy of recent one-month highs.
Oil prices rose by more than $1 on Oct. 16 after Reuters exclusively reported a major oil production shutdown in Iraq’s Kurdistan. The shutdown in production led to severely reduced oil exports from the semi-autonomous region with flows halving in the next 48 hours and lending further support to oil prices.
Reuters was also first to report that Iraq is planning to bring back BP to work on Kirkuk oilfields after regaining control of the area. BP’s chief Bob Dudley said he would not rule out helping Iraq on Kirkuk but added the invitation was news to him. “I read it on Reuters this morning,” Dudley told the Oil & Money conference in London.