OPEC+ to Approve Another Increase in Oil Production — Reuters
The OPEC+ group of oil producers is set to agree on Sunday to another increase in production targets for “black gold,” which is scheduled to begin in August.
This strategic decision is aimed at increasing global supply amid falling prices caused by the gradual resumption of exports through the Strait of Hormuz.
According to information provided by Reuters, citing its own sources, cartel members have already reached an agreement in principle to increase quotas by 188,000 barrels per day.
This move would be a logical continuation of similar measures the group implemented in June and July of this year.
Two independent sources confirmed that this specific increase in production is the most likely outcome of the planned online discussion.
It is worth noting that the seven key members of OPEC+, which include OPEC countries and allied producers led by Russia, have already increased their quotas by a combined total of 800,000 barrels per day between April and July.
An analysis of current figures indicates significant volatility in the market.
According to official OPEC data, production by the agreement’s member countries fell to 33.13 million barrels per day in May, whereas in February this figure stood at 42.77 million barrels.
Although production began to gradually recover in June thanks to active efforts by the United States to help the United Arab Emirates and other OPEC+ countries expand their export capacity, total volumes still remain below pre-war levels.
The market situation remains quite challenging due to a number of external factors.
Reuters reports this, citing its own sources.
Oil prices could fall to $60 per barrel as early as this year
Oil buyers have already found an alternative to the Strait of Hormuz — Bloomberg
