MOSCOW, 3 Oct — PRIME. The OPEC+ alliance is considering cutting production by more than one million barrels per day following a meeting on October 5. This was reported to Reuters on Sunday by sources in OPEC.
Oil prices have recently declined, and in recent months there has been strong volatility, which is why Saudi Arabia, the de facto leader of OPEC, said that the alliance could reduce production.
Such a reduction in oil production could be the most significant since 2020, when the cartel and its allies cut production by a record 10 million barrels per day due to the pandemic.
Analysts at UBS and JP Morgan have noted in recent days that an OPEC+ production cut of about a million barrels per day looks very likely and could help contain oil prices.
Oil at $90 suits the leaders of OPEC +, and therefore the alliance will try to maintain this level as the lower limit of the price range, said Steven Brennock of PVM.