OPEC agreed to extend the historic 9.7 million barrels per day production cut for an additional month in an effort to further reduce the market’s oversupply.
The production cut extension, which will run through the end of July, still needs to be agreed upon by the group’s allies.
“Today we have grounds to be cautiously optimistic about the future, but we are not out of the woods yet and challenges ahead remain to be seen,” Saudi Arabia’s Energy Minister Prince Abdulaziz said in opening remarks as the OPEC+ meeting kicked off a little before 11am ET. He urged the group to display unity and come to a swift decision.
“Together we are stronger, together we can restore stability to oil markets and help rebuild the global economy,” he said.