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.