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Ecuador sees no benefit in Opec cut

Ecuador Oil Minister Derlis Palacios said the country would lose money if Opec decides to cut oil output again at current low prices.

"If there is no real recovery of oil prices then it would not benefit us to cut again," Palacios told a local radio station.

Ecuador has so far struggled to comply with Opec's last supply cut. It is negotiating with several oil companies to reduce their output, said a Reuters note.

Palacios said his country will end its contract with French company Perenco over disagreements on contract renegotiations. Perenco produces around 25,000 barrels per day of oil.

Ecuador wants to increase its participation in current foreign oil deals, and in the past has threatened to end contracts as a way to pressure companies into agreeing to new contractual terms.

Ecuador has to trim 40,000 bpd of its production, according to the Opec resolution.

Palacios said his country, Opec's smallest member with output of around 500,000 bpd, will need signs that prices are recovering to make it profitable to cut its own production again.

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