Saudi Arabia and Russia have agreed in principle to extend the current record oil production cuts for a month, and to put pressure on countries that have not fully committed to reduce production to deepen the cuts.
According to Reuters, an OPEC source said: Any agreement on extending production cuts is subject to the deepening of the countries that did not fully comply in May with the cuts in the coming months to compensate for the excess production.
OPEC + agreed last month to cut production by 9.7 million barrels per day, a record level or about ten percent of global production in May and June to raise prices that Destroyed by the collapse in demand as a result of isolation measures to stop the outbreak of the Corona virus.
Instead of reducing the cuts in July, OPEC and its allies are considering keeping the cuts after June.
The group is also considering holding a meeting via the Internet on the fourth of this month to discuss the production policy after Algeria, which holds the presidency of OPEC, proposed to present the date of the meeting, which was scheduled to be held on the ninth and tenth of This month.
The source in OPEC said that holding an early meeting on the fourth of this month is also subject to commitment, and that discussions are currently taking place regarding the application criteria for those countries that have not fully committed to production cuts and how to compensate. Over production in the coming months.
