Saudi Arabia offers to reduce output if Iran agrees to a freeze
Saudi Arabia offered to return its oil output to levels seen earlier in 2016 if Iran agreed to freeze its own production at its current rate, three sources familiar with the discussions told Reuters.
Iran had yet to respond to the offer, which was made in September.
When the proposal was made Tehran was producing 3.6m barrels per day.
Two sources also told Reuters that the United Arab Emirates, Qatar and Kuwait were all expected to contribute to any decrease in output if a deal was reached.
In an immediate reaction, front month Brent crude futures jumped as high as $48.25 per barrel on the ICE.