OPEC Plus has decided to review its extraction limits as the demand for fuel oil in the world market declines due to the transmission of a new variant of the novel coronavirus Omicron. The Organisation of the Petroleum Exporting Countries (OPEC) and its ally OPEC Plus recently said that if such a situation arises, a decision will be taken before their next scheduled meeting.
As per the previous decision, OPEC Plus had fixed the oil supply in the market at four lac barrels per day in January. The current supply limit for Brent and WTI-grade crude oil is expected to continue until the middle of next year if the spread of Omicron is not alarming. However, OPEC Plus will be ready if the market demand decreases due to the spread of Omicron. The organisation has said it will sit in the meeting ahead of schedule to deal with the situation arising because of the new variant.
Fuel prices have risen slightly since the OPEC Plus meeting on Friday (3 December). Earlier, the price of the product had been declining for six consecutive weeks. This is the first such incident after 2018.
