Report: OPEC+ Unlikely to Suggest Changes in Oil Output Policy | Business News

An OPEC+ ministerial panel is set to convene on Wednesday for a crucial meeting that could impact global oil prices. According to five OPEC+ sources who spoke to Reuters, the panel is unlikely to recommend any changes to oil output policies, as oil prices soar to their highest levels this year.

The Organization of the Petroleum Exporting Countries (OPEC) and its allies, led by Russia, will hold an online joint ministerial monitoring committee meeting (JMMC) on April 3 to assess the market situation and review the implementation of output cuts that have already been extended.

Oil prices have surged this year due to a combination of factors, including tighter supply, attacks on Russian energy infrastructure, and conflicts in the Middle East. Brent crude reached $89 a barrel on Tuesday, up from $77 at the end of 2023.

The meeting is expected to be straightforward, with two sources revealing that they anticipate no major policy changes following the earlier decision to extend output cuts. The voluntary output cuts, totaling 2.2 million barrels per day, were agreed upon by OPEC+ members, with Saudi Arabia and Russia leading the initiative.

Russian Deputy Prime Minister Alexander Novak announced that Russia will focus on reducing oil output in the second quarter, aligning with the production cuts agreed upon by OPEC+ members. The total cuts are set to decrease to 3.66 million barrels per day when the voluntary curbs expire at the end of June.

The JMMC meeting will bring together key OPEC+ countries, including Saudi Arabia, Russia, and the United Arab Emirates. While the panel typically meets every two months, any policy recommendations made during this meeting will be subject to further discussion and approval by all members in a full ministerial meeting.