Oil producer group in focus ahead of Russia sanctions
Led by Saudi Arabia and Russia, OPEC+ agreed early on to cut production by 2 million barrels per day from November.
Vladimir Simicek | Afp | Getty Images
An influential alliance of oil producers agreed on Sunday to stay the course on production policy ahead of a pending EU ban on Russian crude.
OPEC and non-OPEC producers, a group of 23 oil-producing nations known as OPEC+, decided to stick with their existing policy of cutting oil production by 2 million barrels per day, or about 2% of world demand, from November until the end of 2023.
Energy analysts had expected OPEC+ to consider new price-supporting production cuts ahead of a possible double blow to Russia̵[ads1]7;s oil revenues.
The EU is poised to ban all imports of Russian seaborne crude from Monday, while the US and other members of the G-7 will impose a price cap on the oil Russia sells to countries around the world.
The Kremlin has previously warned that any attempt to impose a price cap on Russian oil would do more harm than good.
Oil prices have fallen below $90 a barrel from more than $120 in early June ahead of potentially disruptive sanctions against Russian oil, weakening demand for crude in China and growing fears of a recession.
Led by Saudi Arabia and Russia, OPEC+ agreed early on to cut production by 2 million barrels per day from November. It came despite calls from the US for the group to pump more to lower fuel prices and help the global economy.
This is news. Come back later for more.
