The Organization of the Petroleum Exporting Countries and their allies, collectively known as OPEC+, reached an agreement to taper record production cuts of 9.7 million barrels per day down to 7.7 million barrels per day starting August, APA reports.
Countries that did not meet their quota limits in May and June are expected to reduce production even more starting in August to compensate for their overproduction. Saudi Energy Minister Prince Abdulaziz bin Salman said actual cuts, including those compensations, will be at roughly 8.1 million to 8.2 million barrels per day.
The next meetings of the Joint Technical Committee and Joint Ministerial Monitoring Committee will be held on August 17 and 18, respectively.
On the New York Mercantile Exchange, August West Texas Intermediate crude CLQ20, -0.87% was up 39 cents, or 1%, at $40.68 a barrel, while September Brent crude BRNU20, -0.66% on ICE Futures Europe traded at $43.33, up 43 cents, or 1%.