OPEC+ maintains output policy at latest joint ministerial meeting

The Organization of the Petroleum Exporting Countries and its allies (OPEC+) left its crude oil output policy unchanged at the latest Joint Ministerial Monitoring Committee (JMMC) meeting, which concluded yesterday.

PHOTO: Flag of OPEC. Getty Images

The group reviewed crude oil production data for May and June and “noted the high overall conformity” from its participating member countries, it said in a statement.

The outcome of the meeting was largely in line with the market expectations. Oil market analysts did not expect any changes in the group's output policy, as OPEC+ is expected to observe summer demand growth, before unwinding production cuts.

“The OPEC+ Joint Ministerial Monitoring Committee (JMMC) meeting played out as widely expected yesterday,” two analysts from ING Bank said.

The member countries reiterated that the gradual phase-out of the ongoing 2.2 million b/d production cut could be paused or reversed, depending on market conditions.

The OPEC secretariat announced earlier this year that the 2.2 million b/d voluntary supply cut will gradually expire from September 2024 through the same time next year.

“[Oil] investors are weighing OPEC+'s decision to maintain its current output policy,” analysts from Saxo Bank said in a note.

The next JMMC meeting is scheduled for 2 October.

By Aparupa Mazumder 

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