The OPEC+ decision to hold its Dec. 4 meeting virtually signals little likelihood of a policy change, a source with direct knowledge of the matter told Reuters on Wednesday.
A virtual meeting also puts the focus on the pending European Union deal on a price cap on Russian oil ahead of a Dec. 5 deadline imposed by the bloc for a full embargo on purchases of Moscow’s seaborne crude.
“OPEC+ would rather sit on the bench at this time and assess the outcome of what happens on Monday,” the source added.
The Organization of the Petroleum Exporting Countries and allies including Russia, known as OPEC+, meets as the looming European Union ban on Russian crude imports and the G7 price cap on Russian oil place a question mark over supply.
In October, OPEC+ agreed to cut output by 2 million barrels per day(bpd) equal to 2% of global supply, effective until Dec. 2023.