"Higher production from Libya, Nigeria and Iraq are reducing the odds of such a deal rebalancing the oil market in 2017," Goldman analysts said in a note to clients dated Oct 10. Russian President Vladimir Putin told an energy congress on Monday that Russia was ready to join a proposed cap on oil output by OPEC members. The bank said it sees price-insensitive upside risks to global oil production from the countries outside OPEC and expects them to aggravate supply with 40% more new projects in 2017 from 2016. Goldman said even if OPEC producers and Russia implemented strict cuts, higher prices would allow US shale drillers to raise output. "Demand growth will remain resilient in our view but the historical activity and price sensitivities suggest less growth at higher oil prices," the investment bank said.

Source: The Edge Markets October 11, 2016 03:33 UTC