Opec+ agrees to bigger output boost amid Russian isolation

Opec+ agrees to bigger output boost amid Russian isolation

Major oil producers led by Saudi Arabia and Russia agreed on Thursday to open the taps wider than expected amid soaring prices and hard on the heels of an EU ban on Russian oil imports. Analysts had foreseen Opec+ producers sticking to their policy of modest output increases, as they have done since May 2021. However, pressure has been rising for the 23-strong group to boost output further to try to stabilise prices, which have hit record highs since Russia invaded Ukraine, drawing heavy Western sanctions. Opec+ has decided to add 648,000 barrels per day to the market in July, up from 432,000 in previous months, it announced after monthly video conference meetings that lasted about an hour. “The meeting highlighted the importance of stable and balanced markets for both crude oil and refined products,” the group said in a statement. Ahead of the meeting, speculation had swirled about a break in the agreement between the 13 members of the Organization of the Petroleum Exporting Countries, chaired by Saudi Arabia, and their 10 partners, led by Russia. The Wall Street Journal reported on Monday that Opec was considering suspending Russia from the output deal. Opec+ drastically slashed output in 2020