OPEC alliance considers delay to its output hike, but faces a U.S. shale industry ‘itching to drill again’

OPEC alliance considers delay to its output hike, but faces a U.S. shale industry ‘itching to drill again’

U.S. Big Oil majors are behind their European counterparts in carbon strategies, and the U.S. shale market will remain one of the key drilling regions globally.David McNew | Getty ImagesLONDON — Oil-producing group OPEC, and its allies, will likely delay an output hike at its meeting this week as it weighs positive vaccine news against new coronavirus lockdowns and resurgent shale drilling in the U.S.The coalition known as OPEC+, which comprises some of the world's largest crude producers, will begin a two-day meeting Monday to discuss the next phase of its production policy. It agreed to the largest single output cut in history back in April, but that reduction of 9.7 million barrels per day was subsequently scaled back to 7.7 million in August. Taking oil off the market, with OPEC kingpin Saudi Arabia often bearing the brunt, usually boosts crude prices and helps their commodity-focused economies.A planned 2 million bpd January production ramp-up looks set to be delayed, according to market consensus, with analysts differing on whether that would be for three months or six months.Price predictionsCaroline Bain, chief commodities economist at Capital Economics, believes the meetings on Monday and Tuesday won't spring any surprises, saying an extension of the