ORGANIZATION of oil exporting countries and its allies, the so-called The OPEC + group is not considering pausing the increase in deliveries for now due to the announcement by the United States and some other countries that it will put part of the oil from its strategic reserves on the market, three sources from OPEC + told Reuters.
Some market analysts have hinted that OPEC could take a break and not increase sales after the announcement of large consumer countries that they will put oil from stocks on the market.
The Wall Street Journal reported today that Saudi Arabia and Russia are considering such a move, while the United Arab Emirates and Kuwait are not convinced that a break is necessary.
Three other sources from the OPEC + group, from countries that are large oil producers, also said that such a discussion is taking place, according to Reuters.
The United States and several other countries have agreed on a coordinated action to release oil from state reserves, after failing to convince OPEC to pump more “black gold” due to rising fuel prices, especially in the United States, where President Joe Biden faced increased pressure due to high inflation and falling ratings.
OPEC claims that the oil markets will soon face a new oversaturation of supply, despite the fact that oil prices are moving towards the highest levels since 2014, above $ 85 per barrel.
The group increases deliveries by 400,000 barrels per day each month to gradually offset the record production decline from last year. Production is currently 3.8 million barrels per day below the level before last year’s price drop, which is why the decision was made to cut pumping.
OPEC and its allies, including Russia, will meet next week to discuss demand and dynamics of oil supplies
BONUS VIDEO: “FT1P” gives the answer, how to start a company?
Follow us through iOS and android apps