OPEC+ unlikely to agree to further production cuts Sunday: sources

VIENNA, June 2 (Reuters) – OPEC and its allies are unlikely to opt for further cuts in oil output at a meeting on Sunday, despite prices dropping to $70 a barrel this week, sources within the alliance said on Friday. At the same time, another source said the result was still unclear.

Two OPEC+ sources said they did not expect the group to agree to further production cuts on Sunday when member state ministers meet in Vienna at 12:00 GMT. Earlier, OPEC+ ministers will meet on Saturday.

As the economic outlook worsens, several OPEC+ members announced voluntary production cuts in April between May and the end of this year, in addition to the 2 million barrels per day cuts agreed last year.

Another source said it was too early to judge the outcome of Sunday’s meeting as bilateral talks between ministers were expected ahead. A fourth source said the idea of ​​formalizing voluntary cuts in the form of an OPEC+ decision is being considered.

Last week, Saudi Prince Abdulaziz warned speculators of the consequences of short selling and advised caution ahead of the OPEC+ meeting on June 4.

However, Deputy Prime Minister of the Russian Federation Alexander Novak noted that the alliance partners are unlikely to introduce changes to the global agreement at the next meeting.

The original message in English is available under the code: (Ahmad Ghaddar, Alex Lawler and Maha El Dahan)