OPEC+ agrees to pour more oil into market – ARAB TIMES – KUWAIT NEWS – Arab Times Kuwait English Daily

  • Date: 03-Apr-2021
  • Source: Arab Times
  • Sector:Oil & Gas
  • Country:Gulf
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OPEC+ agrees to pour more oil into market – ARAB TIMES – KUWAIT NEWS – Arab Times Kuwait English Daily

AT the OPEC meeting on Thursday, the Saudi oil minister warned about the “rough sea” and that it is still a bit early to increase OPEC-Plus oil production. During the same meeting, the Russian minister spoke against heating up the market. These are clear signs that neither the oil market nor the world economy is ready for more volume of oil, as the demand for it is not there.

Kamel Al-Harami

Independent Oil Analyst

The OPEC-Plus then decided to put 350,000 barrels effective from May 1, a similar volume in June, and 400,000 barrels in July. Saudi Arabia is still not keeping one million barrels on the shelf out of the market until further notice or until it is confident of the oil market and sees positive directions of global readiness to accept additional crude oil. The gradual introduction of more oil into the market stems from the fact that there is no concrete evidence of solid demand for more oil and of global recovery. Yes there are some positive signs with the USA in particular and upcoming stimulus package of $ 2 trillion as well as creation of more than 18 million jobs; however, all this is in the pipeline