2023-11-22T17:06:21+00:00
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The Institution of Petroleum Exporting Countries (OPEC) announced,on Wednesday,the postponement of the ministerial meeting of the “OPEC+” bloc countries until the end of this month.
The meeting was supposed to be held on Sunday, in the Austrian capital, Vienna, but it was postponed to November 30, according to Agence France-Presse.
The 13 members of OPEC, led by Saudi Arabia, and their 10 partners, led by Russia, are supposed to decide on their next production target in the face of falling crude oil prices.
the OPEC Plus announcement, which was not accompanied by any explanation, led to a significant decline in oil prices, with Brent and West Texas Intermediate crude oil losing more than 4% at approximately 14:00 GMT.
The meeting was a subject of anticipation in oil markets, with prices declining since the end of last September, as brent crude oil was trading below $80, against the backdrop of concerns about global demand.
In China, the world’s largest importer of crude oil, the post-Covid-19 recovery turned out to be much slower than expected, and indicators from Europe and even the United States are conflicting.
The current strategy of OPEC Plus,nine of whose members,especially Riyadh,have reduced production in recent months to improve prices,has failed to raise prices sustainably.
Analysts point to possible disagreements between the two main countries, Saudi Arabia and Russia.
Recently, “the Saudi Energy Minister held speculators responsible for the drop in prices,” considering it “not consistent with market fundamentals,” wrote Carsten Fritsch, an analyst at Commerzbank.
In contrast, Russian Deputy Prime Minister Alexander Novak confirmed on Wednesday that “current oil prices objectively reflect the current situation.”
“It is indeed at a sufficient level and thus the market is balanced. but we will discuss these issues in detail at the next meeting,” Russian news agencies quoted him as saying.