OPEC+ to discuss short extension of oil production cuts

According to a delegate, OPEC+ set to discuss a short extension of its current output cuts, as the cartel considers bringing forward it's next meeting a few days to June 4. Report informs citing the Bloomberg.

The cartel and its allies are considering extending the current cuts for one to three months, the delegate said. As the oil market situation is moving fast, the preference is to take short-term measures and not disrupt the rebalancing of the market, the delegate said.

The Organization of Petroleum Exporting Countries and its partners committed to lowering output by 9.7 million barrels a day, or about 10% of global supply, in May and June. Also, Saudi Arabia, Kuwait, and the United Arab Emirates made further voluntary cuts of about 1.2 million barrels a day for June, bringing the total OPEC+ curbs to almost 11 million barrels a day.

Production cuts are meant to be eased to about 7.7 million barrels a day in July.

Algerian Energy Minister Mohamed Arkab, who holds the rotating presidency, proposed June 4, instead of June 9-10.