Opec+ to boost oil output next month, sees demand recovery

Opec+ to boost oil output next month, sees demand recovery

Admin 50 mins ago News

Bloomberg

The Organisation of Petroleum Exporting Countries (Opec) and its allies will restore some oil supplies next month, but the impact will be "barely felt“ as demand recovers from the coronavirus crisis, said Saudi Arabia's Energy Minister. After almost three months of historic output curbs to offset the worst effects of the global pandemic, the 23-nation coalition led by Riyadh and Moscow will proceed with its plan to gradually taper the reductions. The decision was widely expected but still carries some risks for the cartel after a resurgence of the virus in the US, the world's largest oil consumer. Crude pared gains in New York, and was 0.7% higher at $40.59 a barrel. "As we move to the next phase of the agreement, the extra supply resulting from the scheduled easing of production cuts will be consumed as demand continues on its recovery path,“ Saudi Energy Minister Prince Abdulaziz bin Salman said at the start of an Opec+ video conference on Wednesday. "Economies around the world are opening up, although this is a cautious and gradual process. The recovery signs are unmistakable.“ The Opec and its allies will withhold 7.7 million barrels a day from the market