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  • 3 months ago
OPEC+ lifts June output quota amid UAE departure

Saudi Arabia, Russia and five other OPEC+ countries increased their oil production quota on Sunday in an expected move aimed at demonstrating continuity at the cartel after the shock withdrawal of the United Arab Emirates.

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Transcript
00:00OPEC Plus has announced another increase in oil production, in what analysts say is a move to project stability after
00:07the surprise exit of the United Arab Emirates from the group.
00:11Seven key producers, including Saudi Arabia and Russia, say they will raise their combined quarter by 188,000 barrels per
00:19day in June.
00:21The alliance says the step is part of its commitment to supporting oil market stability.
00:26But despite the increase on paper, the real effect on global supply may be limited.
00:32That is because much of the group's payer capacity is in the Gulf, where exports remain constrained by the blockade
00:38of the Strait of Homoz imposed by Iran after the outbreak of war triggered by U.S.-Israeli strikes in late
00:45February.
00:45Analysts say the latest move is aimed as much at sending a message as adding actual barriers, signaling that OPEC
00:53Plus remains in control of the market, even after the UAE's withdrawal.
00:58The U.S.-Israeli strikes in the U.S.
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