Oil prices extended gains for a second session running on Friday – fuelled by optimism that non-OPEC producers will agree to reduce output following a cartel agreement to limit production.
Saudi Arabia and Iraq are set to supply full contracted volumes of crude to several Asian refiners in January. Despite their commitment to cut the top two oil producers are looking to defend market share in the fastest growing region for oil demand, even as the cartel battles a festering supply glut that has hit global prices hard.
The Organization of the Petroleum Exporting Countries (OPEC) will meet non-OPEC nations in Vienna on Saturday seeking their help in curbing a global excess. Azerbaijan has said it will come to the Austrian capital armed with proposals for its own reduction.