Russian Deputy Prime Minister Alexander Novak confirmed that the OPEC+ alliance is considering the possibility of increasing oil production, amid fears of supply disruptions due to the conflict in the Middle East and rising global prices.

“All factors are being analysed,” Novak said, in response to a question about whether there are preconditions for increasing production. “At the moment, there is no need to predict anything, we have to follow the market performance.”

These statements come after OPEC+ agreed last March to extend production cuts until the end of next June, while closely monitoring market conditions for any indications of a supply shortage.

Despite the agreement, Russia has faced difficulties in fulfilling its commitments to cut production, while other countries have shown greater commitment.

According to a poll conducted by Bloomberg, 87% of traders and analysts expect the coalition to continue reducing production, with the possibility of extending it until the end of the year.

In a related context, Novak announced a voluntary reduction in Russian oil production during the second quarter of 2024. With the aim of sharing responsibility with the rest of the coalition members.

This step aims to reduce Russian production to 9 million barrels per day by next July, while emphasizing the possibility of amending plans according to market requirements.

It is expected that the OPEC+ alliance will discuss at its next meeting on June 1 the continuation or modification of production cuts, with the cuts likely to continue until the end of this year to maintain market stability and support prices.

It is noteworthy that crude oil prices witnessed a noticeable rise during the past month due to fears of supply disruptions. Which led to speculation that OPEC+ production would increase to calm the market.