OPEC is renewing efforts among members and producers from outside the group for a deal to fix an oil glut and boost prices, but it is too early to say whether the attempt will work, OPEC sources said on Wednesday.
Such a deal has been mooted and dismissed for over a year and the lack of any supply restraint by the Organization of the Petroleum Exporting Countries and rivals such as Russia has helped send prices to a 12-year low close to $27 a barrel.
Hopes were raised on Tuesday when Iraq’s oil minister said top OPEC producer Saudi Arabia and Russia were showing new signs of flexibility about agreeing to tackle the oversupply in the market.
And Venezuelan President Nicolas Maduro announced on Tuesday that the country’s oil minister would tour OPEC and non-OPEC countries in a bid to drum up support for joint action.
OPEC delegates, including those from Gulf countries, speaking after Iraq’s comments, said Venezuela’s attempt to get everyone around the table for a deal faced challenges.
“Something is cooking but it might not be done fast. There is communication within OPEC trying to get all sides together,” one OPEC source said. “But the main challenge is Iran and Russia.”