Crude oil prices dipped on Friday following reports that the Organisation of Petroleum Exporting Countries (OPEC) and Russia were considering lifting production of 1 million barrels a day to meet the shortfall in supply from Iran and Venezuela.
Brent oil – the international benchmark LCON8, -2.51 per cent- lost $1.69, or 2.1 per cent, to $77.10 a barrel.
Also, West Texas Intermediate crude oil for July CLN8,-3.00 per cent dipped $1.33, or 1.9 per cent, to $69.38 a barrel, setting the contract on track for a 2.7 per cent weekly slide.
OPEC and a group of non-OPEC countries led by Russia have since January 2017 cut production so as to tackle the global supply boom that had pulled prices to multi-year lows.
The global inventories are now close to OPEC’s target, helping lift prices to three-year highs in recent weeks.
Per Second News gathered Friday morning in Washington that the plans to now lift production again come amid worries that Iran’s exports will decline after the U.S.’s decision to pull out of the nuclear deal with Tehran and as output has collapsed in Venezuela .
The losses came after media reports hit saying the Organization of the Petroleum Exporting Countries and Russia are discussing plans to lift their production for the first time since 2016.
.Additional report from Per Second News