OPEC member states on Friday succeeded in reaching an agreement to increase crude output after Iran’s threats to veto a proposal that included an increase in production were overstated.
Saudi Arabia, the world’s largest producer, has persuaded its rival Iran to cooperate amid calls from major consumers to help cut crude prices and avoid supply shortages, Reuters reported.
“We agreed on about one million barrels we proposed,” Saudi Energy Minister Khalid al-Faleh told reporters on Friday after a meeting of the cartel. The 24 OPEC member states will consider this option on Saturday to make a final decision.
OPEC sources said the increase would be less because several countries, producing less than their quotas in recent times, will find it difficult to return to their full quotas, while not allow other producers to close the gap. The sources estimated the actual increase at 400,000 barrels per day.