OPEC+ countries involved in voluntary oil production cuts have moved up a key meeting to Saturday, May 3, instead of the originally scheduled Monday, according to energy analyst Amena Bakr on X. The virtual meeting is set for noon Vienna time, with members aiming to build consensus around continuing a planned production increase of 411,000 barrels per day (bpd) for June.
The price of Brent crude slipped nearly 1% by late Friday morning, trading at $61.56 per barrel—a level not seen since early 2021. This price is well below the fiscal break-even point for many OPEC+ producers, raising budgetary concerns for countries already limiting output.
The decision to hold the meeting earlier than planned comes amid growing strain within the alliance. Saudi Arabia appears to be sending a message to countries like Iraq and Kazakhstan, which have repeatedly exceeded their quotas. The proposed 411,000 bpd boost, once seen as a warning, may now become formal policy—signaling a potential shift in Saudi strategy toward tolerating lower prices to enforce discipline.
OPEC+ has pledged to cut back 4.57 million bpd of excess production by mid-2026, but so far, compliance has been uneven. The upcoming meeting will test whether Saudi Arabia and Russia still hold enough sway to maintain unity, or if internal disagreements will spark a scramble for market share.
In a related development, a Bloomberg survey released Thursday showed OPEC’s total output dropped by 200,000 bpd in April, falling to 27.24 million bpd. This drop contradicts the group’s stated plans to increase output and raises doubts about the actual implementation of production targets.
While markets are already bracing for a production hike, the disconnect between announcements and actual output continues to drive uncertainty. Whether Saudi Arabia chooses to shoulder the burden or leverages lower prices to enforce compliance is a decision that will ultimately play out in the oil fields—not just in Saturday’s call.
Related Topics:
- Traders Eager to Reenter Russian Crude Market, But the Door Remains Closed
- Oil Prices Rise Due to Venezuela Tariffs
- Iraq Gives BP Final Approval for Kirkuk Oil Development