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Norway, the biggest oil producer in western Europe, said it would consider joining a broad international agreement to cut production.
The Nordic nation, whose oil output is set to grow over the next few years, hasn’t been a part of coordinated international cuts to support prices since 2002. OPEC and other producing nations are due to meet next week to discuss a potential agreement, with Saudi Arabia and Russia indicating other producers needed to join for any deal to be reached.
“We have a dialogue with key stakeholders, including other producing countries,” Petroleum and Energy Minister Tina Bru said in an email. “If a broad group of producers agree to cut production significantly, Norway will consider a unilateral cut if it supports our resource management and our economy.”
The country produced 1.75 million barrels a day of crude in February, less than 2% of global supplies.
Norway was repeatedly invited to join talks with OPEC and its partners after the previous market crash in 2014, but declined. The Norwegian government indicated as recently as Thursday that cuts weren’t on the agenda. Its willingness to join an international effort now underscores how painful the current slump is.
“Due to the Covid-19 pandemic, the current situation in the oil market is challenging,” Bru said. “The ministry is following the market development closely.”
Norway’s production has so far not been affected by restrictive measures to limit the spread of the virus.
