The Organization of the Petroleum Exporting Countries (OPEC) and its allies agreed on Sunday to keep oil output ahead of an enforcement of the European Union ban on Russian crude and projection of economic slowdown in China.
The decision came two days after the Group of Seven (G7) nations agreed to put a price cap on Russian crude at $60 per barrel.
“The G7 and all EU Member States have taken a decision that will hit Russia’s revenues even harder and reduce its ability to wage war in Ukraine. It will also help us to stabilise global energy prices, benefitting countries across the world who are currently confronted with high oil prices,” said Ursula von der Leyen, President of the European Commission.
A group of 23 oil-producing nations known as OPEC+ surprised the global market in October after announcing a production cut of 2 million barrels per day or about 2% of global oil demand, which will stay on course from November until the end of 2023.
OPEC+ key ministers will meet on February 1, 1012, for a monitoring committee while a full meeting will be on June 3-4.
The latest report from the world’s leading oil producers stated that they produces 29.5 million barrels of oil per day.
