Cunning Russian President Vladimir Putin said his country would sign onto a deal with OPEC members to limit oil output on Monday:
“Russia is ready to join in joint measures to limit output and calls on other oil exporters to do the same. In the current situation, we think that a freeze or even a cut in oil production is probably the only proper decision to preserve stability in the global energy market.”
Not so fast, says our Senior Energy Policy analyst Joe McMonigle. As he points out in his interview on BNN, Russia is essentially telling OPEC "you go first" ... get the deal signed and we'll follow. Questions clearly remain.
Russia's largest oil company, Rosneft, said yesterday it would actually increase oil production above 2015 levels. Meanwhile, OPEC's "deal to agree to a deal" would likely exempt Nigeria, Lybia and Iran "creating a million per barrel day hole" in the proposed oil production freeze, McMonigle says.
Click video above to watch McMonigle dissect these developments.