The eagerly awaited ministerial meeting of the OPEC+ alliance, initially slated for Sunday in Vienna, has been rescheduled to Thursday, according to a statement from the Vienna-based Organization of the Petroleum Exporting Countries (OPEC) released on Wednesday.
The meeting, which brings together 13 OPEC members led by Saudi Arabia and ten partners led by Russia, was poised to make critical decisions regarding output policies amidst a significant decline in crude prices.
The announcement of the rescheduled meeting had an immediate impact on global crude prices, causing a roughly four percent drop.
World oil prices have witnessed a substantial downturn since their peak in September, with Brent currently trading below $80 per barrel.
Concerns loom over a potential slump in crude demand, driven by uncertainties about the global economy’s health as China’s post-Covid rebound faces challenges and Europe and the United States grapple with inflation.
The existing output strategy by OPEC+, involving production cuts by nine members led by Riyadh, has not yielded a sustained recovery in prices.
Analysts have speculated on potential discord between key crude oil producers Saudi Arabia and Russia.
The Saudi Arabian energy minister attributed the oil price decline to speculators, indicating a potential continuation of a restrictive production policy.
However, Russian Deputy Prime Minister Alexander Novak offered a contrasting view, stating that current oil prices objectively reflect the market’s balance.
He added that a detailed discussion on these issues would take place at the upcoming meeting, as quoted by Russian news agencies.
