Danielle Izzo, Breaking Energy Staff
For the past two years oil prices have suffered because of excess supply. To respond to this slump, OPEC, in conjunction with other oil producing countries, came to an agreement that would ensure a reduction in the production of crude oil. As of January 2017, the agreement has gone into effect with strong support from participating countries.
According to the International Energy Agency reported that 90% of the countries in accord with the agreement have maintained support and participation. The price of the OPEC Reference Basket rose from $25 per barrel in 2016, to $52.40 per barrel in 2017 largely thanks to OPEC’s supply cut.
