Oil markets still have not completely balanced supply against demand yet but 2018 will be the year when they achieve this, United Arab Emirates' (UAE) energy and industry minister said Thursday.
Speaking to CNBC at the 9th Gulf Intelligence UAE Energy Forum in Abu Dhabi, Suhail al-Mazrouei said progress was being made, but there's more that must be done.
"The market fundamentals in 2017 have been good but we're looking forward to seeing another healthy year of production in 2018," he said. "The concern is to achieve that balance between supply and demand, and we're not there yet."
But al-Mazrouei believes this year could see the oil markets finally achieve an equilibrium.
"I am expecting that we will still see corrections in 2018 and I think it's the year of ... the market fully achieving the balance," he said.
Last November, OPEC and 10 non-OPEC producers led by Russia agreed to extend cuts to their oil output in an attempt to push prices higher. Starting in mid-2014, a slide in global demand combined with a boom in U.S. shale production to severely undercut prices.