OPEC+ ministers to travel to Riyadh for oil production policy decision
(MENAFN) Despite the scheduled online meeting on Sunday to determine oil production policy, several OPEC+ ministers are planning to travel to Riyadh, the capital of Saudi Arabia, to participate in the discussions. The OPEC+ alliance comprises the Organization of the petroleum Exporting Countries (OPEC) along with other nations, including Russia, and is set to deliberate on its production policy for the remainder of 2024 and potentially into the following year.
According to the sources, the coalition is expected to engage in discussions regarding a complex agreement that could extend significant oil production cuts until 2025. This extension is considered in efforts to address ongoing challenges in the global oil market and maintain support for crude prices.
Reports emerged on Friday indicating that invitations had been extended to several OPEC+ ministers to convene in Riyadh for the meeting. Presently, OPEC+ members collectively reduce production by 5.86 million barrels per day, equivalent to approximately 5.7 percent of global demand. Additionally, tomorrow's meeting is anticipated to involve discussions concerning countries that are voluntarily reducing supplies by 2.2 million barrels per day as part of broader efforts to stabilize the market and bolster crude prices.
The voluntary reduction in production involves countries such as Algeria, Iraq, Kazakhstan, Kuwait, Oman, Russia, Saudi Arabia, and the United Arab Emirates. These additional cuts are currently slated to expire at the end of the current month. As OPEC+ ministers prepare to convene, the outcome of their deliberations holds significant implications for global oil markets and the broader energy landscape.
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