The Organization of Petroleum Exporting Countries and its allies (OPEC+) plan to increase oil production in July 2021, while Saudi Arabia’s energy minister kept the market guessing about whether the group will add supply later this year to keep pace with the global recovery, according to Bloomberg.
Saudi Energy Minister Prince, Abdulaziz bin Salman, stated: “The demand picture has shown clear signs of improvement.” Replying to whether more supply increases will be needed, he said: “I will believe it when I see it.”
OPEC and its allies have spent more than a year rescuing prices from historic lows while gradually increasing supply. OPEC Secretary-General Mohammad Barkindo said: “Covid-19 is a persistent and unpredictable foe, and vicious mutations remain a threat.”
The group will increase production by 841,000 barrels a day (bbl/d) in July, following rises in May and June, according to what delegates said after a meeting that lasted less than 30 minutes.