Sources: OPEC + Ministerial Committee will not likely change ‎oil policy at Friday’s meeting

6 sources in the OPEC + group said that it is unlikely that the group will change the current oil production policy during the meeting of the Ministerial Committee on Friday, as the lack of supplies and the solidity of the demand trend lead to an increase in oil prices.

According to Reuters, ministers from the Organization of the Petroleum Exporting Countries (OPEC) and allies led by Russia, the group known as OPEC +, will meet on August 4. And it is possible that the committee, which bears the name of the Joint Ministerial Monitoring Committee, calls for a full meeting of OPEC +, if necessary.

Oil rose to its highest level in three months this week, with Brent crude exceeding $85 a barrel, with lower supplies and increased demand outweighing fears that higher interest rates and persistent high inflation would undermine economic growth.

The six sources said the committee will likely not make any changes to the current policy during Friday’s online meeting. One of them pointed to the rise in oil prices as a reason for not taking a new step

In the latest comment from an OPEC member country on market conditions, the UAE Energy Minister said on July 21 that the current OPEC+ steps are sufficient for the time being, adding that the alliance “needs only a phone call” if further steps are needed. ..

The UAE Minister of Energy is a member of the Ministerial Committee chaired by Prince Abdulaziz bin Salman, Minister of Energy

But a surprise cannot be ruled out. The energy minister said in July that OPEC+ would “continue efforts to surprise the markets”. And in April, a number of OPEC + member states announced cuts in oil production, ahead of a meeting of the Ministerial Committee, which was not expected to take any steps.

At the last meeting to discuss production policy in June, the OPEC + group agreed on a broad agreement to limit supplies until 204, and Saudi Arabia pledged to voluntarily cut production in July and then extended it to August.

Analysts said last week that they expect Saudi Arabia to extend the voluntary cut in production for another month, to include September.

The National Australia Bank stated in a report on Tuesday that Saudi Arabia is expected to announce the extension of the voluntary production cut during the committee meeting on Friday.