OPEC+ agrees to slash oil production

OPEC+ agrees to slash oil production

The 23-member OPEC+ alliance agreed on a major cut in oil production Wednesday during a meeting in Vienna.

The organization is made up of the 13 major oil producers of OPEC, as well as 10 other non-OPEC countries, including Russia.

Iran's OPEC Governor Amir Hossein Zamaninia said the group agreed to reduce production by 2 million barrels per day from November. The cut is likely to lead to a rise in oil prices.

The organization said in a statement that the decision was based on the "uncertainty that surrounds the global economic and oil market outlooks."

Saudi Energy Minister Abdulaziz bin Salman said that the organization was a "moderating force" and aimed "to bring about stability." He added that OPEC+ intends to remain "ahead of the curve" in the face of a "period of diverse uncertainties."

The alliance said it would renew the cooperation between OPEC members and non-members, which was due to expire at the end of the year.

Crude oil prices had dropped in recent months amid concerns over falling demand and the possibility of a global recession.

Prices had fallen below $90 per barrel, after soaring to $140 per barrel at the start of Russia's invasion of Ukraine. Brent North Sea crude, which serves