Russia does not support an oil production cut at this time and it is likely OPEC+ will keep its output steady when it meets Monday, the Wall Street Journal reported on Sunday, citing people familiar with the matter.
Three OPEC+ sources told Reuters last week the group is likely to keep oil output quotas unchanged for October at Monday’s meeting, although some sources did not rule out a production cut to bolster prices that have slid from the sky-high levels hit earlier this year.
Top OPEC producer Saudi Arabia last month flagged the possibility of cuts to balance the market.
Russia is concerned that a production cut would signal to oil buyers that crude supply is outstripping global demand, the WSJ report said on Sunday. (https://on.wsj.com/3cLUws9)
OPEC+, a group comprising the Organization of the Petroleum Exporting Countries and allies including Russia, meets as demand faces headwinds and supply could be boosted by a return to the market of Iranian crude if Tehran secures a deal with world powers on its nuclear work.
Last week, the Group of Seven wealthy nations agreed to impose a price cap on Russian oil, but provided few new details to the plan aimed at curbing revenue for Moscow’s war in Ukraine while keeping crude flowing to avoid price spikes. (Reporting by Akriti Sharma in Bengaluru; Editing by David Goodman and Jan Harvey)