Will OPEC+ begin to reverse large production cuts at its June 1 meeting? In large part, it will depend on whose oil market outlook is closest to the mark, writes Mark Finley, fellow in energy and global oil. He examines several forecasts and outlines the issues in a new commentary.
Mark Finley explains the cost-benefit analysis behind the Saudi government's recent move to pause plans to increase spare oil production capacity — and why spare capacity still equates to power in the oil market.
When the OPEC+ group met last week and agreed to extend production cuts through the first quarter of 2024, the market was unimpressed. Fellow in Energy and Global Oil, Mark Finley, outlines the meeting’s outcomes and discusses why the recent agreement “could augur a year of difficult meetings ahead” in a new commentary.
Though the OPEC+ group has agreed to accelerate planned oil production increases, the move will likely do little to reduce prices at the pump, despite a major U.S. concession, writes author Mark Finley — and Russia appears to support the plan. Read more on the Baker Institute Blog.
This article originally appeared in the Forbes blog on June 6, 2022.