OPEC+ expected to continue increasing production

VTV.vn - Saudi Arabia, Russia and six other key members of OPEC+ are expected to agree to increase oil production to expand market share.

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Saudi Arabia, Russia and six other key members of OPEC and its allies (OPEC+) are expected to agree to increase oil production at an online meeting on November 2, in an effort to expand their market share in the global market.

Analysts expect the “Volunteer Eight” (V8) – comprising Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria and Oman – to increase production slightly.

Since April, the group has raised total output by about 2.7 million barrels per day, and output is expected to rise by another 137,000 barrels per day from December, according to Emily Ashford, energy analyst at Standard Chartered.

OPEC+ has traditionally controlled supply to maintain stable oil prices, but increased competition, especially from US shale producers, has made gaining market share a top priority.

Ole Hvalbye, commodity analyst at SEB bank, said the strategy of increasing production is having some effect. Supply from US shale producers is currently flat, with little investment in new production, opening up opportunities for OPEC+ to consolidate its position in the market.

Source: https://vtv.vn/opec-du-kien-tiep-tuc-tang-san-luong-100251102185139251.htm