OPEC meets Russian Federation and allies to agree oil output boost

OPEC meets Russian Federation and allies to agree oil output boost

And despite the push for wider production growth of 1 million barrels per day (bpd), actual output increases of around 600,000bpd are being forecasted due to the fact other OPEC member states can not grow their supplies.

After an OPEC meeting in Vienna, Emirati Energy Minister Suhail al-Mazrouei said the cartel chose to fully comply with its existing production ceiling.

OPEC agreed to a modest rise in oil production from next month but the group gave no clear targets, leaving traders guessing how much more it will actually pump.

By not setting individual targets, the OPEC deal appeared to give Saudi Arabia the leeway to produce more than its previous OPEC quota and fill the gap left by those such as Venezuela who can not pump enough to meet their official allocation.

The production limits by the Organization of the Petroleum Exporting Countries and Russian Federation since 2016 have helped increase oil prices, with the benchmark US crude contract hitting its highest level in more than three years in May.

Saudi Energy Minister Khalid al-Falih said OPEC and non-OPEC combined would pump roughly an extra 1 million barrels per day (bpd) in coming months, equal to 1 percent of global supply.

"Each country can only pro-rata increase their production and the majority of them can't increase their production at all", Wright said during an interview on "Countdown to the Closing Bell".

After OPEC's deal on Friday, Trump tweeted: "Hope OPEC will increase output substantially".

Instead the producers are seeking to cut no deeper than 1.2 million bpd, the target they set in November 2016.

Jogger detained for 2 weeks after accidentally crossing US border from Canada
Roman, who was visiting her mother, claimed she didn't see any signage that indicated that she entered another country. Roman is certainly not the first outdoors enthusiast to have made the mistake along the U.S.

Although higher prices are better for the oil industry, Wright says there must be a balance to prevent a dramatic spike in oil prices.

Production levels from participating members put compliance at more than 100 percent, though some of that is attributed to Venezuela.

Worldwide marker, Brent, traded above US$100 a barrel for several years until 2014, dropping to nearly US$26 in 2016 and then recovering to over US$80 last month.

Top global exporter Saudi Arabia will increase output by hundreds of thousands of barrels, he said, with exact figures to be decided later.

Zanganeh has said that if OPEC returned to regular compliance, the group would raise output by around 460,000 bpd.

The performance of the United Arab Emirates' oil minister and OPEC President Suhail Mazrouei was a master class in how to avoid a question.

OPEC sources also said Iran had demanded that US sanctions be mentioned in the group's post-meeting communiqué. Russia, a non-member, is the second largest oil producer after Saudi. Venezuela will raise its production when it can.

The meeting of the ministerial monitoring committee of OPEC+, which usually proceeds from the recommendations and future scenarios of the technical committee, was held on June 21 in Vienna.

Related Articles

  • Justin Trudeau Just Announced The Date Cannabis Will Be Legal In Canada

    Justin Trudeau Just Announced The Date Cannabis Will Be Legal In Canada

    Canada criminalized pot possession in 1923, but became an early adopter of medical marijuana in 2001. Canadian lawmakers approved landmark legislation on Tuesday to fully legalize marijuana.
    US  exempts some Japanese goods from steel tariffs

    US exempts some Japanese goods from steel tariffs

    The US now imposes a 2.5% tariff on imported passenger cars from the European Union and a 25% tariff on imported pick-up trucks. Mr Trump imposed 25 per cent tariffs on steel imports and 10 per cent on aluminium in March on grounds of national security.
    Zimbabwe's President Emmerson Mnangagwa uninjured in 'assassination attempt' explosion

    Zimbabwe's President Emmerson Mnangagwa uninjured in 'assassination attempt' explosion

    Mr Mnangagwa has pledged to hold a free and fair election, inviting Western observers for the first time in nearly two decades. Mr Charamba said the 75-year-old president, who was accompanied by his two deputies, was safe at a state house in the city.
  • Mars Dust Storm Covers the Entire Planet

    Mars Dust Storm Covers the Entire Planet

    NASA scientists say the storm has them asking how these type of storms last for months at a time, while others last only a week. The dust levels have more than doubled since the weekend with a tau or haze amount of 8.0 measured at the Gale Crater.
    Kit Harington and Rose Leslie's wedding is coming

    Kit Harington and Rose Leslie's wedding is coming

    Cast members Emilia Clarke - Daenerys Targaryen - and Peter Dinklage , who plays Tyrion Lannister, arrived in Aberdeen on Friday. The radiant redhead also donned a cream floral headband using the same array of flowers that made up her miniature bouquet.

    Carlos Vela, Javier Hernandez score in Mexico win

    South Korea , beaten by a Sweden penalty in their first match, had their chances but again lacked cutting edge up front. Heung-Min Son scored in the stoppage time to half the deficit but in the end it was no more than a consolation.
  • Cynthia Nixon Reveals Her Oldest Child Is Transgender in Heartfelt Post

    Cynthia Nixon Reveals Her Oldest Child Is Transgender in Heartfelt Post

    In addition, Nixon is mom to 7-year-old Max Ellington Nixon-Marinoni with her wife, Christine Marinoni . Border Patrol union official called out Cynthia Nixon , the Democratic primary challenger to Gov.

    Concern in Brazil as Neymar walks a suspension tightrope

    The Paris Saint-Germain attacker's anger during the match even spilled over towards his teammates, too, it seems. Switzerland have one foot in the final 16 after a dramatic 2-1 win over Serbia in Friday's late game.
    Apple’s AirPower Charger May Not Be Released Before September

    Apple’s AirPower Charger May Not Be Released Before September

    But if Apple's really able to make a wireless charging pad that's more reliable than existing ones, it just might be worth it. First revealed during Apple's iPhone X announcement, the Californian company has since provided little information.
  • Chip and Joanna Gaines welcome their 5th child

    Chip and Joanna Gaines welcome their 5th child

    Joanna and Chip announced on social media that they were expecting another bundle of joy in January. The " Fixer Upper " couple have announced the arrival of their fifth child , a baby boy.
    Brazil vs Tunisia, Mexico vs South Korea, Germany vs Sweden Match preview

    Brazil vs Tunisia, Mexico vs South Korea, Germany vs Sweden Match preview

    Mats Hummels has been unfortunately ruled out with a neck injury with Nicklas Sule expected to replace him in the starting eleven. But when El Tri's squad did emerge before 10 p.m., it was to ask the fans to allow them to rest a little.
    Deaths reported after explosion in Ethiopia capital

    Deaths reported after explosion in Ethiopia capital

    Ethiopia had refused to accept the deal's handing to Eritrea of key locations, including the town of Badme, which it still holds. But war veterans in Badme oppose the peace initiative, with some residents saying they will not leave the town.