The Organisation of the Petroleum Exporting Countries (OPEC) and its allies known as OPEC+ on Wednesday agreed to start the 400,000 barrel-per-day supply in October.
During the 20th OPEC and non-OPEC Ministerial Meeting held via video conference, the oil producers’ group revised its 2022 demand outlook upwards.
The oil cartel estimated that demand will grow by 5.95 million bpd after a record drop of about nine million bpd in 2020 due to the COVID-19 pandemic. But demand only rose by about three million bpd in the first half of 2021.
The group noted that while the effects of the pandemic continued to cast some uncertainty, market fundamentals have strengthened.
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The oil producers said, “In view of current oil market fundamentals and the consensus on its outlook, the meeting resolved to reaffirm: The decision of the 10th OPEC and non-OPEC ministerial meeting on 12 April 2020 and further endorsed in subsequent meetings, including the 19th ONOMM on 18 July 2021.
“Reconfirm the production adjustment plan and the monthly production adjustment mechanism approved at the 19th ONOMM and the decision to adjust upward the monthly overall production by 0.4 mb/d for the month of October 2021.
“Extend the compensation period until the end of December 2021 as requested by some underperforming countries and request that underperforming countries submit their compensation plans by 17 September 2021,” the organisation said.
 and its allies known as OPEC+ on Wednesday agreed to start the 400,000 barrel-per-day supply in October.){kind=link}