The members of OPEC and OPEC+ support the idea of gradually increase oil production in August.
It is reported that the offer appeared on the background of gradual recovery of domestic demand to the level that was prior to the adoption restrictions because of the pandemic.
According to sources the WSJ, Riyadh suggested the OPEC countries to mitigate the quota by 2 million barrels. a day and to reduce 9.7 million and 7.7 million barrels. a day.
Bloomberg writes that at the meeting of July 15, the participants will discuss whether to keep the current quota for another month or mitigate the adopted limits to 7.7 million barrels.
Investors and analysts have predicted a possible increase in oil prices to 150 dollars per barrel on the background of a lack of investment in the industry.
The Ministry of energy of Saudi Arabia has ordered state-owned Saudi Aramco to reduce the oil production in June by another 1 million barrels per day in addition to the country’s obligations under OPEC deals+.
April 12 OPEC countries agree about the largest ever reduction of oil production to 9.7 million barrels per day during may – June. The agreement came into force on 1 may.
Earlier, the countries-members of the APPO (African organization of oil producers – EP), which did not participate in the OPEC agreement, also pledged to contribute to global efforts and to adjust their daily production.
On April 10, it became known that the majority of OPEC countries and Russia have reached agreements in principle on the terms of the reduction of oil production, namely to reduce in may-June 2020 the production of 10 million barrels per day.