Talks in Qatar run into trouble amid tensions between Saudi Arabia and Iran

Today's much anticipated meeting between OPEC and non- OPEC members, to cut oil production in a bid to stabilize global oil prices, has run into some trouble after alleged renewed tensions between Saudi Arabia and Iran. Various ministers met with Sheikh Tamim bin Hamad Al- Thani. According to Reuters News Agency, two sources Saudi Arabia demanded that all OPEC members be present at the meeting despite insisting on excluding Iran from the talks ealier because of the country's refusal to cut oil production. If talks were to fail today, oil shares will most likely continue with its sluggish trend and increase tensions between major producers in the market.

Since the start of the year brent oil has reached 60% to $45 per barrel, on promise that a possible deal would be reached to cut high oil production. Meanwhile Iran insist in regaining its market share after a long period of international sanctions. In an interview with Bloomberg, Saudi Prince Mohammed Bin Salman said that the country would only agree to freezze its output if other major oil producers, including Iran would agree to do so. Iranian news agency reported that the country's oil minister, Bijan Zanganeh, said that Iran did not stand to benefit from lifted sanctions were it to agree to impose production cuts.

Reuters News Angecy reported on a draft agreement circulating in the talks which urged country's to freeze their oil production at January 2016 levels. It is predicted that the freeze would continue till October this year, after which producers will again gather in Russia to dicuss developments in the oil market. The IEA said that while a freeze on output might be positive step, it would have a miniscule impact on overall global supply levels and the stabilization of the oil market in 2016.