Shares of energy producers rose alongside oil futures after Russia and Saudi Arabia said they would extend a production cut deal for about a year. In a joint statement Monday, Saudi Energy Minister Khalid al-Falih and Russian Energy Minister Alexander Novak said a pact by the Organization of the Petroleum Exporting Countries and external producers such as Russia to cut output and bring down global oil inventories should be extended to the end of March 2018. Some analysts argue significant exemptions to the production quota--troubled nations such as Libya and Nigeria are not subject to the limits, for example--and the increase in production among U.S. shale-oil drillers could nullify the effects of the cut.
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(END) Dow Jones Newswires
May 15, 2017 16:13 ET (20:13 GMT)