Oil Price Reduce Following the Delay of OPEC+ Meeting

On Wednesday, Members of the OPEC+ producer in Africa Angola and Nigeria disclosed that they are planning on increasing the oil output for next year. However, the meeting to talk about next year’s production policy has been postponed.

This was because the Organization of the Petroleum Exporting Countries and allies such as Russia delayed a meeting which was set to discuss the output cuts and thus sent oil prices declining. 

Here is what Angola OPEC governor, Estevao Pedro said to Reuters,

• We are happy, we are waiting for the meeting. 

• We are fighting to increase our production.

Russian Deputy Prime Minister Alexander Novak and Saudi Energy Minister Prince Abdulaziz bin Salman agreed to delay the meeting to Nov. 30 from Nov. 26, an OPEC+ source said on Wednesday, citing issues around other producers.

This development came after Russian Deputy Prime Minister, Alexander Novak and Saudi Energy Minister Prince Abdulaziz bin Salman agreed that the meeting should be delayed to November 30th from the initial date which was November 26th an OPEC+ source said.

The Nov. 30 meeting, which overlaps with the start of the COP28 climate summit in Dubai, will convene online, OPEC said on Thursday.

It was reported that Nigeria was producing a total of 1.7 million barrels per day of crude oil condensates in November 17 and expects to hit 1.8 million bpd at the end of the year, Olufemi Soneye, chief corporate communications officer at its state oil firm NNPC, told Reuters.

Nigeria's governor to OPEC Gabriel Tanimu Aduda told Reuters on Thursday he was not aware of any disagreements with other members of OPEC+ about his country's production targets.

"We are not aware of any disagreements, it is more a matter of seeking alignments," Aduda said.

On Thursday, oil fell by 1.5% on Thursday following the postponement of the meeting as reviews had that the group might not deepen output cuts. The Brent Crude was trading above $80 a barrel.