Saudi Arabia defies opposition, drives OPEC+ to boost oil output
Saudi Arabia led the OPEC+ group in such a way that the coalition agreed to a third consecutive large monthly increase in oil production despite opposition from the faction led by Russia, Bloomberg reports.
OPEC+ agreed to increase oil production in July by 411,000 barrels per day (bpd), the same as in May and June, as the group of oil-producing countries continues to boost supply faster than previously planned.
On Monday, the popular Brent crude oil was priced at $64.34 per barrel. The crude oil price was $62.50, and American WTI was $62.49 per barrel.
When Prince Abdulaziz bin Salman was appointed Saudi Arabia’s energy minister six years ago, he vowed to heed even the smallest of OPEC+ nations. But at the cartel’s meeting this weekend, even the most powerful members couldn’t block Riyadh’s designs, Bloomberg writes on Monday.
As the agency adds, the kingdom guided the cartel in a manner that resulted in a third consecutive substantial monthly increase in production, despite opposition from the faction led by Russia.
Eight OPEC+ countries have been increasing production faster than planned since May, even though additional supply has weighed on prices. The strategy of the group leaders, Saudi Arabia and Russia, is partly aimed at punishing allies that are overproducing and reclaiming market share, Reuters reported.
