OPEC+ unlikely to alter oil strategy during talks on Monday. At a meeting on Monday, is expected to maintain its current agreement to cut oil production.
OPEC+ members to maintain current agreement
Five delegates from OPEC+ told Reuters after oil prices rebounded from a decline to 15-month lows. The group of producers is likely to uphold its current agreement to reduce oil production at an assembly on Monday.
After dropping to nearly $70/ barrel on March 20. Brent oil prices are climbing toward $80 as concerns over a worldwide crisis in banking have diminished. And Suppliers have been constrained by a suspension of shipments from Iraq’s Kurdistan area.
OPEC is wary of falling oil prices
Regarding the talks on Monday, one of the delegates said, “It is difficult to expect any new development.” Another individual claimed that the price declines and the Kurdistan restrictions were not significant enough to change the overall trajectory of the OPEC+ strategy for 2023.
Three additional OPEC+ members concurred that Monday’s policy changes were improbable. The following complete meeting won’t happen till June after those discussions.
Since the majority of members’ economies depend heavily on oil revenue, lower crude prices are a problem for them. Despite this, officials from OPEC+ did not propose any additional measures to help the market following the recent price decline. And instead forecasted prices would stabilize, which they have since begun to do.
According to the energy minister of Saudi Arabia, OPEC+ will adhere to the lower goal through the conclusion of the year.
