VIENNA, Sep 5(ABC): Faced with recession fears, the OPEC+ countries are expected to agree a modest increase in oil production at a meeting on Monday, with some experts even forecasting a cut to support prices.
The 13 members of the Organization of the Petroleum Exporting Countries (OPEC) cartel, led by Saudi Arabia, and their 10 partners, led by Russia, are meeting to adjust their quotas for October. Talks are due to start at 1100 GMT.
Far from their highs near $140 a barrel, Brent North Sea crude and US WTI crude prices suffered their third consecutive monthly decline in August amid a gloomy global economic outlook.
That’s enough to fuel speculation.
“It is not entirely clear whether OPEC+ will agree another 100,000 barrels per day increase,” as in September, Caroline Bain of Capital Economics wrote in a note.
“In light of the recent slide in oil prices… we wouldn’t rule out no change or even a cut.”
Saudi Energy Minister Abdulaziz bin Salman last month appeared to open the door to the idea, which has since received the support of several member states and the cartel’s joint technical committee.
