OPEC oil producers and allies including Russia, in what is known as the “OPEC +” group, meet today, Wednesday, to review compliance with oil production cuts, to support crude prices in light of the Corona virus pandemic.
It is unlikely that OPEC + will amend its production policy, which currently calls for reducing production by 7.7 million barrels per day compared to a record high of 9.7 million barrels per day until this month, according to OPEC + sources.Instead, the meeting will focus on compliance with countries such as Iraq, Nigeria and Kazakhstan, the sources said.
Sources from OPEC + and a draft report seen by Reuters on Monday said that the rate of commitment to the cuts ranged between 95 and 97% in July.
The rate is high by OPEC standards. In July, Saudi Arabia, the Organization’s largest crude exporter, was pumping below its target rate, while Iraq and Nigeria, which lagged behind in compliance with Gulf OPEC members, pumped less oil than in previous months, according to a Reuters survey and other assessments.
The Saudi Press Agency reported that Saudi King Salman bin Abdulaziz spoke with Nigerian President Muhammadu Buhari on Wednesday, and they stressed the importance of the commitment of all participants in the agreement.
Brent crude oil traded near its highest level in nearly 5 months, at more than $ 45 a barrel, and its price increased to double its level since it reached its lowest level in 21 years, at less than $ 16 a barrel last April, with partial assistance from the OPEC agreement. +.