Supported by an agreement between Russian President Vladimir Putin and Saudi Crown Prince Mohammed bin Salman, OPEC members and allies like Russia have agreed to reduce oil output.
The Organization of the Petroleum Exporting Countries and its Russia-led allies, referred to as "OPEC+," agreed on Friday to slash production by a combined 1.2 million barrels per day next year in a move to be reviewed at a meeting in April.
Russian Energy Minister Alexander Novak said Putin had discussed the output decrease with the Saudi Crown Prince.
OPEC will curb output by 800,000 bpd from January while non-OPEC allies contribute an additional 400,000 bpd of cuts, Iraqi Oil Minister Thamer Ghadhban said after the organization concluded two days of talks in Vienna.
Oil prices jumped more than 5 percent following the announcement of the agreement to reduce output.
Prices have plunged 30 percent since October as supply has surged and global demand growth has weakened.
US President Donald Trump demanded in a tweet on Wednesday that OPEC boost output so as to lower prices and help the economy. But the Saudi and Russian energy ministers stressed that Washington was not in a position to tell the cartel what to do.
