(Ecofin Agency) - Experts have said that the cooperation between Saudi Arabia, Russia and other countries to freeze production at January level will have slight effect on the oil market as anticipated, whereas there are still great doubts that it will occur.

This follows Nigeria’s Minister of State for Petroleum Resources, Ibe Kachikwu’s, visit to get Saudi Arabia and Russia to cooperate on production cuts so that the prices of crude oil could rise.

Kachikwu has been making effort to persuade the Organization of the Petroleum Exporting Countries (OPEC), to set up an emergency meeting before the next meeting on June 2, 2016.

Oil fell close to a 12-year low as supplies continue to increase following decisions by OPEC to continue to produce in order to protect market share.

According to Goldman Sachs Group Incorporated, together with Russia’s output as well as U.S. shale fields producing more than earlier estimations, prices could fall under $20 per barrel before the collapse ends.

“While an agreement could create the perception that more could be achieved, such as production cuts, we believe this would not be sufficient to set a floor on prices as they will only stabilize once inventories stop building,” Goldman said.

The bank believes that supplies may reduce in the H2 of this year. A bigger cut in production would be unsuccessful as producers could increase their production in few months when prices begin to stabilize.

“OPEC may call for an emergency meeting as early as March, as the slump in oil prices squeezes profit margins. We think that a production cut in the major oil producers will happen in 2016. This event, coupled with demand growth to stay positive, would rally both WTI and Brent to our year-end forecast of $50 a barrel,” economist Barnabas Gan said.

Anita Fatunji