OPEC+ Unlikely to Alter Output Policy Before June Meeting

According to three sources within OPEC+, the organization is not expected to make any adjustments to its oil output policy until a comprehensive ministerial gathering scheduled for June. The upcoming online joint ministerial monitoring committee meeting (JMMC) on April 3 is anticipated to focus on reviewing market conditions and members’ compliance with output cuts, with no policy recommendations expected at this time. The sources, speaking on condition of anonymity, indicated that any significant action is unlikely until the June meeting, suggesting that the April session may be brief and straightforward. OPEC and the Saudi Energy Ministry have yet to respond to requests for comment. Earlier this month, OPEC+ members, led by Saudi Arabia and Russia, agreed to prolong voluntary output cuts of 2.2 million barrels per day until the end of the second quarter to stabilize the market. Despite robust international oil prices this year, driven by supply concerns due to conflicts in the Middle East and disruptions in Russian energy infrastructure, economic uncertainties and increased non-OPEC+ supplies have tempered further price increases. As the voluntary cuts are set to expire at the end of June, total OPEC+ cuts are expected to decrease to 3.66 million bpd as per previous agreements. The JMMC, comprising key OPEC+ nations like Saudi Arabia, Russia, and the United Arab Emirates, typically convenes every two months to assess market conditions and may propose policy changes for consideration and endorsement at subsequent full ministerial meetings involving all members.

OPEC+ Unlikely to Alter Output Policy Before June Meeting
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