Group of oil producers in focus ahead of Russia sanctions

Led by Saudi Arabia and Russia, OPEC+ agreed in early October to cut production by two million barrels per day from November.

Vladimir Simechek | Afp | Getty Images

An influential alliance of oil producers agreed on Sunday to stay the course on production policy ahead of a suspended European Union embargo on Russian crude.

The Organization of the Petroleum Exporting Countries and non-OPEC producers, a group of 23 oil-producing countries known as OPEC+, decided to stick to its current policy of cutting oil production by 2 million barrels per day, or about 2% of global demand, from November until the end. 2023.

were energy analysts is expected OPEC+ is considering new price-supportive production cuts ahead of a potential double whammy for Russian oil revenues.

The European Union is preparing to ban all imports of seaborne Russian crude from Monday, while the United States and other members of the Group of Seven are preparing. It will impose a cap on the price of oil that Russia sells to countries around the world.

The Kremlin has warned earlier that any attempt to impose a cap on the price of Russian oil would do more harm than good.

Oil prices have fallen to below $90 a barrel from more than $120 in early June before potentially crippling sanctions on Russian oil, dampening demand for crude in China and mounting fears of a recession.

OPEC +, led by Saudi Arabia and Russia, agreed to this In early October To cut production by 2 million barrels per day from November. This came despite calls from the United States for the group to pump more to lower fuel prices and help the global economy.

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