The 13-member Organization of the Petroleum Exporting Countries (OPEC) is expected to consult with 10 other oil-producing countries, including Russia, to review the organization's future output policy. The face-to-face meetings of OPEC+ will take place in Vienna (Austria) from 8 am (GMT) ie around 15 pm 4/6 (Vietnam time).
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| Major oil producers led by Saudi Arabia and Russia will continue to cut output. (Customs Today) |
There are growing signs that major oil producers, led by Saudi Arabia and Russia, are considering further production cuts when they meet on June 4 in an attempt to stem the price slump.
Analysts had expected OPEC+ producers to maintain their current policy, but signs emerged on June 3 that maintaining this policy may not be enough to stabilize the oil market.
In April, several OPEC+ members agreed to voluntarily cut production by more than a million bpd – a surprise move that sustained prices in the short term but failed to bring about a long-term recovery. Oil producers are grappling with "plunging" prices and high market volatility amid the continuing Russia-Ukraine conflict, which has already affected economies around the world.
Most delegations remain tight-lipped or refuse to comment on possible policy decisions when they arrive in Vienna for meetings.
Analysts have been divided on whether heavyweights Riyadh and Moscow will keep the group on track with current output policy or continue with output cuts.
According to a source familiar with the matter, the parties are discussing a production cut of between 700.000 bpd and 1 million bpd.
