Opec+ starts talks as Omicron challenges weigh on demand growth – The National

Opec+ starts talks as Omicron challenges weigh on demand growth – The National

Opec and its allies began two days of meeting on Wednesday as Omicron, the latest variant of coronavirus, weighed on oil demand growth.

“Today, the Covid-19 pandemic remains a persistent foe which continues to spook the markets,” Diamantino Azevedo, Angola's minister of mineral resources and petroleum, said at the opening session of the meeting on Wednesday.

“The sudden appearance of a new and potentially more dangerous variant comes on top of new lockdowns,” he said, adding that it was imperative that Opec+ “remain prudent in our approach and prepare to be proactive as market conditions warrant”.

Major producers including Saudi Arabia and Russia will debate future output increases at the two-day meeting.

Omicron cases are surging across the world, forcing a number of countries to impose travel restrictions to contain the spread of the pandemic.

India, one of the top consumers of oil, has postponed the resumption of international flights from December 15. The EU, US, UK and Canada have all imposed travel restrictions on visitors from countries in southern Africa.

The UAE also suspended the entry of travellers from seven southern African countries due to concerns over the new Covid-19 variant.

Renewed movement restrictions have sparked concerns about a slowdown in energy demand that had begun