VIENNA, 02 January 2021, (TON): Members of the OPEC group of oil producers and their partners will meet via videoconference on Monday to decide on production levels for February, in a hope to avert the downward trajectory seen in 2020.
After their last summit, from November 30-December 3, the OPEC+ members agreed to increase production by half a million barrels per day in January.
The 13 members of the OPEC cartel, led by Saudi Arabia, and their six allies led by Russia, also agreed to meet at the beginning of each month to decide on any adjustments to production volumes for the following month.
Russia and Saudi Arabia are respectively the second and third-biggest oil producers in the world after the United States.
Before the pandemic, OPEC members were content with two summits a year at the organisation’s headquarters in Vienna.
“Finally, we saw a strong demonstration of OPEC+ will and capability to manage the market, laying the groundwork for Brent’s recovery to over $50 per barrel despite remaining demand uncertainty in the market,” JBC Energy analysts said in a statement.
The OPEC+ ministerial meeting comes after oil consumption tanked in 2020 due to the COVID-19 pandemic and a price war between Saudi Arabia and Russia.