The OPEC and its allies have agreed to gradually increase oil production in the coming months, moving cautiously in pace with the recovery of the global economy from the COVID-19 pandemic, reports stated on Thursday.
The oil cartel and its allied nations agreed to add back some 2 million barrels per barrel per day of oil production from May to July.
The group is gingerly adding back production that was slashed last year to support prices as demand sagged during the worst of the pandemic recession, which sapped demand for fuel. The group will add back 350,000 barrels per day in May, 350,000 in June, and 400,000 in July, an AP report said.
It is worth mentioning that OPEC’s production rose last month led by the higher supply from member nations like Iran and Libya, which made it difficult for the group to keep a check on global oil prices.
In March, OPEC boosted their output by 300,000 barrels a day to an average of 25.33 million per day, a Bloomberg report said on Thursday.
Meanwhile, Saudi Arabia will restore an additional 1 million barrels per day that it made on its own.