OPEC and allied oil producers, a group known as OPEC+, agreed on Thursday to cut output by 10 million barrels per day (bpd) in May and June to help prop up prices battered the coronavirus crisis, the group said in a statement.
It said the cuts would be eased between July and December to 8 million bpd and the reductions would then be relaxed further to 6 million barrels between January 2021 to April 2022.
OPEC+ said it would hold another video conference meeting on June 10, to assess the market.
The coronavirus pandemic has caused an unprecedented drop in the use of oil worldwide, from driving cars to air flights and industrial usage. Meetings between the OPEC+ group will occur today, while the G20 energy minister will meet Friday to discuss the global oil market.
“I hope there will be a sizeable reduction or cut in order to help the oil industry globally,” International Energy Agency Executive Director Fatih Birol told Al Arabiya earlier on Thursday, regarding the OPEC+ meeting.