'Ape in heels': Racist post about Michelle Obama causes backlash

Moscow, Jun 7: OPEC, Russia and allies agreed on Saturday to extend record oil production cuts until the end of July, prolonging a deal that has helped crude prices double in the past two months by withdrawing almost 10% of global supplies from the market.

The group, known as OPEC+, also demanded countries such as Nigeria and Iraq, which exceeded production quotas in May and June, compensate with extra cuts in July to September.

OPEC+ had initially agreed in April that it would cut supply by 9.7 million barrels per day (bpd) during May-June to prop up prices that collapsed due to the coronavirus crisis. Those cuts were due to taper to 7.7 million bpd from July to December.

“Demand is returning as big oil-consuming economies emerge from pandemic lockdown. But we are not out of the woods yet and challenges ahead remain,” Saudi Energy Minister Prince Abdulaziz bin Salman told the video conference of OPEC+ ministers.

Benchmark Brent crude climbed to a three-month high on Friday above $42 a barrel, after diving below $20 in April. Prices still remain a third lower than at the end of 2019.

“Prices can be expected to be strong from Monday, keeping their $40 plus levels,” said Bjornar Tonhaugen from Rystad Energy.

Saudi Arabia, OPEC’s de facto leader, and Russia have to perform a balancing act of pushing up oil prices to meet their budget needs while not driving them much above $50 a barrel to avoid encouraging a resurgence of rival U.S. shale production.

It was not immediately clear whether Saudi Arabia, the United Arab Emirates and Kuwait would extend beyond June their additional, voluntary cuts of 1.18 million bpd, which are not part of the deal.

BULGING INVENTORIES

The April deal was agreed under pressure from U.S. President Donald Trump, who wants to avoid U.S. oil industry bankruptcies.

Trump, who previously threatened to pull U.S. troops out of Saudi Arabia if Riyadh did not act, spoke to the Russian and Saudi leaders before Saturday’s talks, saying he was happy with the price recovery.

While oil prices have partially recovered, they are still well below the costs of most U.S. shale producers. Shutdowns, layoffs and cost cutting continue across the United States.

“I applaud OPEC-plus for reaching an important agreement today which comes at a pivotal time as oil demand continues to recover and economies reopen around the world,” U.S. Energy Secretary Dan Brouillette wrote on Twitter after the extension.

As global lockdowns ease, oil demand is expected to exceed supply sometime in July but OPEC has yet to clear 1 billion barrels of excess oil inventories accumulated since March.

Rystad’s Tonhaugen said Saturday’s decisions would help OPEC reduce inventories at a rate of 3 million to 4 million bpd in July-August. “The quicker stocks fall, the higher prices will get,” he said.

Nigeria’s petroleum ministry said Abuja backed the idea of compensating for its excessive output in May and June.

Iraq, with one of the worst compliance rates in May, agreed to extra cuts although it was not clear how Baghdad would reach agreement with oil majors on curbing Iraqi output.

Iraq produced 520,000 bpd above its quota in May, while overproduction by Nigeria was 120,000 bpd, Angola’s was 130,000 bpd, Kazakhstan’s was 180,000 bpd and Russia’s was 100,000 bpd, OPEC+ data showed.

OPEC+’s joint ministerial monitoring committee, known as the JMMC, will meet monthly until December to review the market, compliance and recommend levels of cuts. JMMC’s next meeting is scheduled for June 18.

OPEC and OPEC+ will hold their next scheduled meetings on Nov. 30-Dec. 1.

Minneapolis, Jul 23: The former Minneapolis police officer charged with murder in the death of George Floyd was charged Wednesday with multiple felony counts of tax evasion.

Derek Chauvin and his wife, Kellie May Chauvin, were each charged in Washington County with six counts of filing false or fraudulent tax returns for the tax years 2014 through 2019 and three counts of failing to file tax returns for 2016, 2017 and 2018.

Floyd, a Black man who was handcuffed, died May 25 after Chauvin, who is white, pressed his knee against Floyd's neck for nearly eight minutes as Floyd pleaded for air.

Chauvin is charged with second-degree murder, third-degree murder and manslaughter. He and three other officers who were at the scene were fired.

Chauvin is in custody on the charges in the Floyd case. Kellie Chauvin, who filed for divorce after Floyd's death, is not in custody.

Online court records didn't list attorneys for either in the tax evasion case, and calls to Kellie Chauvin did not go through.

Washington County Attorney Pete Orput said the investigation into the Chauvins was started in June by the Minnesota Department of Revenue and Oakdale Police Department.

Authorities allege in the criminal complaints that the Chauvins failed to file income tax returns and pay state income taxes, and that they underreported and underpaid taxes on income they earned from various jobs each year.

The complaints allege that they also failed to pay proper sales tax on a $100,000 BMW purchased in Minnesota in 2018.

Prosecutors say the Chauvins bought the car in Minnetonka but registered it in Florida, where they paid lower sales taxes.