OPEC could increase oil production levels by up to 800,000 barrels per day if Saudi Arabia overcomes opposition from others in the cartel at its next meeting on September 19th, an OPEC source said today.
OPEC oil ministers could "decide on a moderate increase to give the market some time to absorb the increase in September", before making a further decision on output later in the year, the source said.
He said Saudi Arabi, which is pushing for a production rise, faced opposition from Kuwait, Indonesia and Venezuela.
"They need to reach a compromise to release a small amount of crude. It is a very tough decision to make," he said, explaining that the output hike could be "between 500,000 and 750,000 to 800,000 barrels a day".
The cartel could also "decide to do nothing for some time before meeting later this year," the source said.
"They cannot afford not to meet before [the regular scheduled meeting in] March, so they would have to meet at the end of November or in early December."
AFP