Xavier Vera - Grunauer , Ecuador's energy minister, issued a warning on Sunday, stating that if protests and obstacles continue, oil production might reach a "critical" point and completely cease within 48 hours.
"The volume of oil production is essential."
The country's oil production will be terminated in less than 48 hours if this situation persists because vandalism, the seizing of oil wells, and road closures have made it impossible to transfer the diesel and equipment required to keep operations running.
Production, which was at about 520,000 barrels per day prior to the protests, has decreased by more than 50% as of today, according to the figures.
According to AFP News, the president of Ecuador reportedly declared that fuel prices would be reduced.
The Market Reaction
Following the aforementioned news, WTI is back in the green after erasing early losses brought on by the G7 talks on Russian oil shipments and the Iran nuclear deal. The price of US crude is at $106.32, up 0.19 percent on the day.
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