Hope to keep market tight as prices start to recover
OPEC and its Russia-led partners are leaning toward extending oil production cuts for another two to three months, the WSJ reports.
An officials familiar with the discussions says the hope is the cuts will keep markets tight even as prices start to recover from Covid-19-inspired lows earlier this year.
The group will meet next week (Monday/Tuesday) to discuss the issue. The recent rise in crude oil prices gives some countries more reason to oppose continued production cuts.
In April, the OPEC 13 members and 10 Russian led producers, agree to carry out record production cuts of 9.7 million barrels a day. Those cuts would be phased out as the recovery developed from Covid.