OPEC+ considers options for releasing more oil to the market

OPEC+ is considering going beyond its existing deal to boost production by 400,000 barrels per day (bpd) when it meets next week, sources said, at a time when oil prices are near a three-year high and consumers are pressing for more supply.

The Organization of the Petroleum Exporting Countries and allies led by Russia, known as OPEC+, meets on Monday to review output policy.

In July, the group agreed to boost output by 400,000 bpd a month to phase out 5.8 million bpd in cuts.

Four OPEC+ sources said producers were considering adding more than that deal envisaged, but none gave details on how much more, or when supply would increase.

Another OPEC+ source suggested an increase of 800,000 bpd for one month was possible, with zero the next month.

The nearest month any increase could occur is November since OPEC+’s last meeting decided the October volumes.

Talks among members continue ahead of the virtual OPEC+ meeting on Oct. 4, with no guarantee an additional increase will be agreed.

On Tuesday, Brent oil rose to a three-year high above $80 a barrel, boosted by unplanned outages in the United States and a strong recovery in global economic activity and energy demand as many countries emerge from the pandemic. On Thursday, prices were trading just below $79.