Oil soars after OPEC decision

Crude oil prices rose sharply on Thursday, adding more than 5% and updating highs from early January 2020 in the context of the OPEC meeting. As a result of the negotiations, it was decided to keep production levels at their current level next month. An exception was made for Russia and Kazakhstan.

Oil jumped on media reports that OPEC countries decided not to increase production by 0.5 million barrels per day in April, while Saudi Arabia maintained a limit of 1 million barrels per day, Finmarket writes, citing Bloomberg. On Wednesday, Russia and Saudi Arabia, the most influential OPEC members, tested talks in which Riyadh urged Moscow to be cautious about increasing oil production. Production in Russia could increase production in Russia as part of an agreement to reach 130,000 barrels per day, Interfax reported, citing a source. OPEC

said the increase in oil production in Russia and Kazakhstan by 150,000 barrels per day in April was in line with the seasonal oil demand model. This was set out in a communication published after the OPEC meeting, tass writes. In addition, at the OPEC meeting, ministers extended the period during which allies must compensate for oil overproduction from March to the end of July 2021. The next OPEC meeting will take place on April 1, 2021. The Joint Ministerial Meeting (JMMC) will take place on 31 March 2021.

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