Pumping crude from seabeds thousands of feet below water is turning cheaper as producers streamline operations and prioritize drilling in core wells, according to Wood Mackenzie Ltd. That means oil at $50 a barrel could sustain some of these projects by next year, down from an average break-even price of about $62 in the first quarter and $75 in 2014, the energy consultancy estimates.

The historic record of 10 million barrels per day was reached during November, 1970, when US oil prices were still below 3 USD. The record was close to being surpassed in 2015 when US production peaked in April at 9.6 million barrels. Production then dropped 1 million barrels per day over 18 months as oil prices fell from above 100 to below 40 USD.

Indonesia, which produces around 730,000 b/d of crude, relies on imports to meet domestic demand of 1.4 million b/d, with Nigeria accounting for 18% of oil imports.

Benchmark Brent oil LCOc1 was down $1.45, or 2.8 percent, at $50.39 a barrel by 1157 GMT (7.57 a.m. ET), after earlier touching $50.13 a barrel, the weakest since May 10. U.S. light crude CLc1 traded at $48.43, down $1.23 cents, or 2.5 percent.

ОПЕК подтвердила свой статус авторитетной и ответственной отраслевой организации, влиятельной рыночной силы: «На протяжении текущего года мы с удовлетворением наблюдали за укреплением ОПЕК как организации, способной взять на себя ключевую роль в устранении необоснованных перекосов на рынке нефти, и стали свидетелями все возрастающей солидарности ее стран-членов, на которую смогли опереться ведущие независимые производители нефти в своем решении содействовать обеспечению рыночного баланса».

Iran has so far signed memoranda of understanding (MoUs) with four Russian companies for developing its oil and gas fields: Lukoil for Ab Teymour and Mansouri fields, Zarubezhneft for Aban and West Paydar fields, Tatneft for Dehloran and Shadegan fields and Gazprom for Cheshmeh Khosh and Changouleh fields.

West Texas Intermediate futures were down 0.8 percent from Friday’s closing price following the U.S. Memorial Day holiday on Monday. OPEC and Russia’s deal to extend output limits through March was initially met with a sell-off as deeper cuts or a plan for the rest of 2018 weren’t proposed. Saudi Arabia’s Energy Minister Khalid Al-Falih said the strategy is working and stockpiles will drop faster in the third quarter.

“Market should play a decisive role in resource allocation and the government role should be better played in order to safeguard national energy security, boost productivity and meet people’s needs,” the reform guideline said.

In the first quarter of 2017, profit attributable to PJSC LUKOIL shareholders was 62.3 bln RUB, up 33.7% and 45.5% quarter-on-quarter and year-on-year, respectively. Profit was significantly impacted by non-cash foreign exchange loss. Excluding this item, profit attributable to PJSC LUKOIL shareholders amounted to 97.1 bln RUB, a 22.7% increase year-on-year.

Brent crude futures were trading down 19 cents at $51.96 per barrel at 0857 GMT. The contract ended the previous week down nearly 3 percent. U.S. West Texas Intermediate (WTI) crude futures were also down 19 cents at $49.61 per barrel.