OPEC awaits Russian support to maintain production cuts

Sources told Reuters that Saudi Arabia and some other OPEC members are planning to extend the current record production cuts until the end of 2020, but still need to secure Russia's support. 

Last month, OPEC+ countries reached an agreement to reduce oil pumping by 9.7 million barrels per day (bpd) in May and June, and from July, there could be a relaxation of cuts. However, several OPEC+ sources told Reuters that there are already Saudi-led discussions to maintain the level of reductions. 

"The Saudis understand that the market still needs support, and they want to extend the same cuts until the end of the year. The Russians want the same, but the problem – again – is with the oil companies," said an OPEC+ source.

Sources also reported that at a recent meeting of Russia's Energy Minister Alexander Novak with the country's major oil companies, there was no decision on the cuts, since opinions were divided.