"There's no better return to taxpayers than if we buy it at these low prices, and they're terribly low, but then we can sell it at a later date". Nonetheless, Trump stated on Saturday that he would impose tariffs on crude imports if he has to "shield" United States power staff from the oil worth crash that has been exacerbated by the value warfare between Russian Federation and Saudi Arabia over market share. "But the U.S. has no single national producer that could agree to cut output in a meaningful enough way to contribute to a 10-15m bpd agreement".
With the two most important players fighting, the 23-country alliance gathering the Saudi-led Organization of the Petroleum Exporting Countries and its Russia-led partners has been forced to push the Monday meeting to either Wednesday or Thursday, according to OPEC delegates.
Meanwhile on the coronavirus front, as the USA prepares to face its worst week prior to an expected peak in new infections, the mainstream media and top democrats are backpedalling on earlier criticism of US president Donald Trump promoting hydroxychloroquine as an effective virus treament: they now agree that the drug - which has been approved for emergency use by the Food and Drug Administration - is effective after all. West Texas Intermediate (WTI) crude was up by 83 cents, or 3.2 per cent, at US$26.91 a barrel, having dropped almost 8 per cent in the previous session. To do that, the price needs to be below $40 a barrel. "But we don't need that, we never set such a goal".
"Before any meeting between Opec and non-Opec there needs to be an agreement on production numbers for any country that will reduce production", Iran's Oil Minister Bijan Zanganeh tweeted on Tuesday, adding that the United States and Canada need to play a role in determining production cuts.
Some energy experts have suggested that action by the Railroad Commission of Texas, which regulates the energy business in the biggest USA oil state, could help limit overall U.S. output.
"It is key to the government to help companies in the oil industry survive this acute crisis", Bru told public broadcaster NRK, without giving specifics as to how the Norwegian government could help the sector beyond considering a possible output cut.
Tokyo Olympic Games athletes village considered for coronavirus patients
The Paralympic Games were supposed to take place from August 25 to September 6 and expected to house 4,400 athletes and staff. But the four-time Olympic gold medallist backed the postponement and was adamant it would not affect his ability to compete.
The U.S. has sent mixed messages over its course of action.
Norwegian Oil and Energy Minister Tina Bru later said the oil industry was facing a "perfect storm".
However, the price war is still a huge obstacle.
"He added that Russian Federation is working closely with USA authorities to have American producers participate in the output cut". Alberta has already been operating under government-mandated production quotas since a year ago over pipeline constraints.
Brazil's Petrobras has also doubled its oil output cuts to 200,000 bpd, or 6% of its total production.
According to Reuters, however, Trump said on Sunday that he is ready to place "very substantial tariffs" on imported oil if prices remain low.
At the time, Russian Federation called for leaving output cuts at previously agreed upon levels, while Saudi Arabia and its allies suggested that additional cuts be made.