Russia expects to delay OPEC + increase of oil production

Baghdad  The Russian Central Bank expected, today, Thursday, that the OPEC + group will postpone a planned increase in oil production from January 1, 2021, due to the repercussions of the Corona pandemic, on the economic outlook and demand for crude.

The Bank said in reviewing the deteriorating economic recovery outlook, OPEC + may take a decision to postpone the planned easing of oil production cuts from January 2021.

He added that this may provide support for oil prices, but on the other hand, oil companies will not be able to increase production quantities.

OPEC + production is supposed to raise 2 million barrels per day in January – about 2% of global consumption – as it moves to ease the record cuts this year, but in light of the decline in demand, the group is considering delaying the increase.

Three sources close to OPEC + told Reuters, yesterday, Wednesday, that OPEC and its allies, including Russia, tend to postpone the planned increase in oil production next year to support the market in light of the second wave of Covid-19 and the increase in Libyan production, despite the high prices.

 

Source: National Iraqi News Agency