The increase in oil production agreed last month by the OPEC + nations could be reconsidered at their next meeting on Sept 1, Kuwait’s oil minister said on Sunday, Reuters reports.
The Organization of the Petroleum Exporting Countries (OPEC) and a Russian-led group of allies, collectively known as OPEC +, will meet on Wednesday to discuss the previously agreed increase of 400,000 barrels per day (bpd) for the coming months.
“Markets are slowing down. As COVID-19 has started its fourth wave in some areas, we must be careful and reconsider this increase. The 400,000 (bpd) rise could be halted,” Mohammad Abdulatif al-Fares told Reuters in the margins of a government sponsored event in Kuwait City.
The economies of East Asian countries and China continue to be affected by COVID-19 and caution should be exercised, Fares added.
The US government urged OPEC and its allies to boost oil production to cope with rising gasoline prices, which is seen as a threat to global economic recovery.
When asked about Washington’s appeal, Fares said that OPEC + members have different views on the matter.
“There are meetings with the OPEC countries, especially those of the Gulf Cooperation Council, so there are different points of view on how to handle the matter,” Fares said.
OPEC + implemented a record production cut of 10 million bpd last year, equivalent to about 10 per cent of global demand, as energy demand plummeted due to travel restrictions and lockdowns to counter the spread. of COVID-19.
