Oil rises 7% with welcoming Iran to freeze production

Thursday 18 February 2016 | 12:18
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Follow-up / ... Oil prices rose seven percent on Wednesday after Iran expressed its support for Russia's move and Saudi Arabia led to the freezing of production to address the oversupply that pushed crude prices to their lowest levels in ten years.

He met with Iranian Oil Minister Bijan Zanganeh with his counterparts from Venezuela, Iraq and Qatar in Tehran for more than two hours on Wednesday and said the "proposed" production ceiling should be the first step to bring stability to the market.

But Zanganeh did not mention in his remarks broadcast site of the Ministry of Information Iranian oil if Iran will freeze production at January levels in line with the proposal, which requires the participation of major producers such as Russia and Saudi Arabia.

An Iranian official said ahead of a meeting Wednesday that his country will continue to increase its oil production to levels before the imposition of sanctions in 2012. In Tehran, a major obstacle to the first joint agreement for producers inside OPEC and outside in the 15 years after he vowed to regain market share lost as a result of sanctions.

Although it helped Zanganeh's remarks in the ignition spark a wave of strong rally.

And determine the settlement price for Brent to rise to $ 2.32, equivalent to 7.2 percent at $ 34.50 a barrel, while US crude was up 1.62 percent, or 5.6 percent, at $ 30.66 a barrel .anthy