OPEC+ countries agree to increase crude output by 2.1m bpd
The Organization of the Petroleum Exporting Countries oil cartel and allied producing countries (OPEC+) confirmed on Tuesday plans to gradually restore crude output by 2.1 million barrels per day (bpd).
The decision was made in an online meeting earlier on Tuesday.
Saudi Energy Minister Prince Abdulaziz bin Salman hailed a decision made in April to gradually increase crude output as "the right decision" amid recent market developments. The prince added that there were still “clouds on the horizon” on the road to the oil market's recovery.
In accordance with plans set out in April, the OPEC+ group of countries will return 2.1 million barrels per day to the market between May and July. The group will meet again on 1 July to decide policy beyond that month.
The decision comes amid speculation that the global economic recovery from the coronavirus pandemic will push up demand later this year.
Ongoing negotiations between the US and Iran over Tehran's nuclear programme have also raised fears among suppliers that more Iranian oil could return to the markets.
The issue of Iranian oil, however, was not discussed during the meeting, Prince Abdulaziz told reporters after the brief half-hour meeting.