(Reuters) - OPEC members and other oil producers need to cut at least 20 million barrels per day of output, a Texas oil and gas regulator said on Wednesday.
U.S. firms are likely to “organically” cut 4 million barrels of output per day in the next three months, Ryan Sitton, one of three elected oil and gas regulators in Texas, wrote in a Tweet. Sitton is not participating in Thursday’s OPEC meeting but plans to attend the group’s June meeting.
Texas regulators next week will consider curtailing the state’s output for the first time in nearly 50 years. Sitton has backed the idea of considering cuts - requested by producers Pioneer Natural Resources (PXD.N) and Parsley Energy (PE.N) - but the other two commissioners have not said how they might vote.
If OPEC and other countries do not cut production, oil storage is likely to fill in two months, Sitton said.
Reporting by Jennifer Hiller; editing by Jonathan Oatis