The OPEC decided to loosen its crude diet. The cartel alongside some other large oil producers, including Russia, signed the agreement on oil output curb in order to support the commodity prices. The deal became a significant event in the markets and it is still taken into account for making forecasts of contract prices. According to the members of the agreement and independent observers, the deal successfully tackled the task and made oil prices higher. Now, the OPEC leaders believe that there are strong reasons to review the deal terms. And the countries’ representatives reconsidered the terms at the latest meeting in Vienna. The participants decided to loosen the restrictions and increase the crude production slightly. Saudi Energy Minister Khalid al-Falih said that OPEC agreed with Russia and other oil-producing allies to pump an extra 1 million barrels per day. This means extra 700 thousand barrels per day for the market. The oil output will be mainly raised by Saudi Arabia and Russia as some of the deal members are unable to increase their production. The new agreement will offset a larger-than-expected decline in supplies from Venezuela and some other countries and will return the production to the levels agreed upon in 2016. Besides, Iran may lose its access to the market due to the US tariffs. So, the crude deficit is very unlikely.
