Latin American oil producers push back early meeting on output freeze

Jessica Morris
Follow Jessica
(FILES) Picture taken 04 September, 2006
The meeting was pushed back due to scheduling difficulties (Source: Getty)

Latin American oil producers have postponed a meeting due tomorrow, where they would have coordinated support for an output freeze or other measures to bolster low oil prices.

Scheduling difficulties mean the meeting between Venezuela, Colombia, Ecuador and Mexico will now take place at the end of this month or the beginning of April.

"One of the problems is that the agendas of the ministers are very complicated," oil minister Carlos Pareja told Reuters late yesterday.

"I think it could be the end of March of early April."

The initial announcement had been the first sign that non-Organisation of Petroleum Countries (Opec) producers Colombia and Mexico would consider taking action to shore up prices.

The timing change means it will now take place after a planned meeting of oil producing nations in Moscow on 20 March to discuss an output freeze.

It follows a preliminary agreement between Saudi Arabia and Russia to hold production at January levels, providing others oil producers take part.

But Iran has stressed its determination to increase its oil output following the ending of sanctions in January.

Analysts have questioned the effectiveness of a freeze deal without its participation, as it's one of the few Opec producers that could significantly boost output this year.

Waning demand and the oversupply of oil has send crude prices down around 60 per cent since the middle of 2014.

Related articles