According to Russian Minister of Energy Alexander Novak, the leaders of Russia and Saudi Arabia decided to extend the OPEC+ deal. The minister said that this decision to make the deal indefinite in time took place not so long ago in Moscow.
This means that the decision to extend the OPEC+ deal for an indefinite period of time will be discussed by the remaining participants during the forthcoming recent OPEC summit in Vienna, Austria.
The Russian Minister of Energy also confirmed that on OPEC+ participant was against this extension but they would have to come up with the right format suitable for each participant. It’s important to note, that this decision to make the deal indefinite in time also implies no specific quotes. However, some specific decisions on this topic may well be made for each participants. They claim that the easing of the OPEC+ deal should give everyone equal opportunities and rights. The fairest decision would be to distribute the quotes proportionally to their market share.
Also, the minister claims that Russia and Saudi Arabia are determined to offer the participants to raise their total production of crude oil by 1.5 million barrels a day. This is said to be a well-thought-out step dictated by a traditional increase in the global demand for crude oil. The production volume for the end of the year are expected to be discussed somewhere in September after the participants evaluate the market situation and figure out what to do next.
