OPEC is considering two options at its meeting next month[/rtl]
[rtl]Revision date: 2019/5/19 20:34 • 146 times read[/rtl]
(Reuters) - Saudi Arabia and Russia are considering two main prospects for the OPEC meeting and its oil producers in June and both options are proposing to increase output from the second half of 2019, two sources familiar with the issue said.
OPEC meets on June 25-26 in Vienna.
The sources told Reuters that Russia wants to reduce the volume of reductions of 1.2 million barrels per day implemented by the so-called OPEC and its allies.
The United States also urged OPEC to increase supply.
The two sources said that OPEC's first possibility is to get rid of excessive commitment to the agreed reductions, which means an increase in production by about 800 thousand barrels per day.
Excessive commitment came from a drop in exports and production by Iran and Venezuela over US sanctions and a cut in Saudi production, which came more than OPEC and its allies called for.
The actual production cut by OPEC and its allies is about 2 million bpd.
One source said the other option was to ease the agreed cuts from 1.2 million barrels per day to 900,000 barrels, which means an increase in production by about 300,000 barrels per day.