Experts expect more oil tap opening. Oil prices remained
recently on a recovery course, but well over $100.
The OPEC+ oil cartel will discuss its production strategy for May on Thursday. To this end, energy ministers from a total of 23 countries will meet for an online conference. Experts assume that Allianz will keep its previous line and turn on the oil tap at around 400,000 barrels (159 liters each) a day in May.
“We expect an increase in production around the level of previous months,” said Commerzbank energy expert Carsten Fritsch. If this strategy continues, the impact on heating oil and gasoline prices should be limited. Energy prices have risen sharply in recent weeks, in part because of the war in Ukraine.
Oil group OPEC+, led by Saudi Arabia and Russia, appears stable despite the war. “According to information from Saudi Arabia, cooperation with Russia in the alliance is currently not under discussion,” Fritsch continued. Global demand for oil is nearly 100 million barrels a day. OPEC+ provides about 45% of that.
Oil prices remained on a recovery trajectory on Wednesday, offsetting some of their recent losses. More recently, a barrel of North Sea Brent was $113.59. That was $3.36 more than the day before. The price of a barrel of the US West Texas Intermediate (WTI) variety rose $3.49 to $107.73.
(APA/dpa)