"OPEC+ Weighs Production Increase Agreement Excluding Russia"

[Asia Economy Reporter Jang Hyowon] The Organization of the Petroleum Exporting Countries (OPEC) is reportedly considering excluding Russia from its oil production agreement.

[Image source=Reuters Yonhap News]

According to foreign media on the 31st (local time), an OPEC source said that due to Western sanctions and the European Union's (EU) partial ban on Russian crude oil, Russia's oil production capacity has declined, leading some OPEC member countries to seek a plan to suspend Russia's participation in the production agreement.

Although OPEC has not yet formally pursued measures to compensate for Russia's reduced production, some Middle Eastern oil-producing countries are reportedly beginning plans to increase production within the coming months.

Russia, one of the world's top three oil producers, agreed last year with OPEC and nine non-OPEC oil-producing countries to increase oil production monthly. However, Russia's oil output is expected to decrease by 8% this year. Russia's production began to decline after the start of the Ukraine invasion and is anticipated to decrease further.

If Russia is excluded from the production agreement, other OPEC members such as Saudi Arabia and the United Arab Emirates could significantly increase their crude oil production. The United States and Europe have been demanding such measures since oil prices began to soar following Russia's invasion of Ukraine.

Meanwhile, OPEC Plus (+), a group consisting of 13 OPEC member countries and 10 non-OPEC oil-producing countries including Russia, is scheduled to hold a meeting on the 2nd. At this meeting, it is expected that they will agree to increase production by 432,000 barrels per day to restore output to pre-COVID-19 pandemic levels.

This content was produced with the assistance of AI translation services.