OPEC+ oil-producing countries decided today to maintain their production quotas in a climate of great uncertainty, on the eve of the implementation of new sanctions targeting Russian crude.
Representatives of the 13 members of the Organization of the Petroleum Exporting Countries (OPEC) led by Riyadh and their ten allies led by Moscow agreed to maintain the cap decided in October to cut production by two million barrels per day by 2023.
An OPEC+ statement confirmed the maintenance of the previous decision, which was taken to support prices and had raised the ire of the White House which wanted prices cut at the pump.
Since then, global benchmark black gold prices have lost ground, hovering between $80 and $85, far from the $130-plus they had reached in March after the start of the Russian invasion of Ukraine.
Which, in hindsight, confirms our strategy, the cartel said. It was the
The next meeting was set for 4 June 2023, but the body said it was ready to convene at any time to take additional immediate action if needed.
The G7 agreement
[/B][/P]On Friday, the G7 countries and Australia agreed to a cap, at $60 a barrel, on the price of Russian oil shipped by sea, in a move designed to deprive President Vladimir Putin of revenue while keeping Russian oil flowing to global markets.
Moscow has said it will not sell oil under the cap and that it is considering how to respond.
OPEC convened online yesterday Saturday without Russia and allies and did not discuss the cap on the price of Russian oil, sources cited by Reuters said.
The issue of a cap on the price of Russian oil was not discussed at today's OPEC+ meeting either, the sources said.
Russian Deputy Prime Minister Alexander Novak said today that Russia could cut production rather than supply oil under the cap and said such intervention could further destabilize the market.
Sources have told Reuters that several OPEC+ members have expressed dissatisfaction with the cap saying the measure could eventually be used by the West against any producer.
The United States has said the measure is not aimed at OPEC.
Source: Cyprus Times
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