Global prices of oil increased on Monday after speculations that the Organization of the Oil Exporting Countries (OPEC+) would increase output this week.
Brent crude futures rose 0.20 cents, or 0.31%, to $64.98 a barrel by 7:27 AM WAT while U.S. West Texas Intermediate crude was up 24 cents, or 0.39%, at $61.77 a barrel.
According to report from Reuters this month, the group could unwind the rest of its 2.2 million bpd voluntary production cut by the end of October, having already raised output targets by about 1 million bpd for April, May and June.OPEC+ are expected to increase output by another 411,000 barrels per day (bpd) for July at next week’s meeting.
Prices of Brent and WTI increased after settling 0.5% higher on Friday.Energy services firm Baker Hughes data showed U.S. firms, under pressure from lower oil prices, cut the number of operating oil rigs by 8 to 465 last week, the lowest since November 2021.
Since late 2022, the cartel had slashed production, with Riyadh, Moscow and the six other OPEC+ members withholding 2.2 million barrels per day.
At the start of the year, the group said it would reintroduce some of the oil kept underground, but it has significantly accelerated the pace.
