OPEC+ members plan to raise their production quotas for May, in a symbolic move as the Middle East conflict constrains production and shipments from several of the alliance's largest members.
Key members of the group led by Saudi Arabia and Russia have an agreement in principle to increase production targets by about 206,000 barrels per day during a video conference later on Sunday, according to two delegates who asked not to be identified discussing private deliberations.
With the oil flows from the Persian Gulf throttled by the Iran war and top producers like Saudi Arabia, the United Arab Emirates, Iraq and Kuwait forced to curtail supplies, such a move by the group would be theoretical. Still, it could symbolise their intention to revive output as soon as the conflict eases.
Oil prices have been roiled by five weeks of conflict between a US-Israeli alliance and Iran, climbing to almost $120 a barrel last month, and soaring costs for products like jet fuel and diesel are threatening a renewed wave of inflation. Brent futures settled near $109 on Friday after President Donald Trump vowed an escalation in the war.
Before the US-Israeli strike on Iran threw the region into chaos, the Organisation of the Petroleum Exporting Countries and its partners had been gradually restoring supply, which had been halted back in 2023.
The group held its production steady for the first three months of this year, and agreed to a small increase of 206,000 barrels per day at its previous meeting on March 1, a day after the initial US and Israeli strikes on Iran.
While Gulf producers are being affected by the Middle East conflict, Russia has also faced disruptions to oil infrastructure and exports as a result of Ukrainian attacks.
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