Economic security

Oil prices could reach $40 a barrel if Russia made deal with OPEC

Oil prices may increase if Russia is able to make a deal with OPEC on reducing oil production by a limit of 5 percent or by about two million barrels a day, according to expert analyst at MFX Broker Anton Krasko.

According to Krasko, considering that the current oil glut on the world market consists of only 1.5 million barrels a day, this will be enough to stabilize the market and return prices to at least the $40-a-barrel level.

On Jan. 28 Russian Energy Minister Alexander Novak announced that Russia had accepted an invitation to participate in the extraordinary OPEC summit in February. Novak says that Saudi Arabia and OPEC are preparing to discuss the possibility of reducing oil production by 5 percent.