SUBSCRIBE
PROFILE

Falling oil prices, OPEC+ reassures

Observed this week, OPEC+ is reassuring about the decline in oil prices. According to some of the group's delegates, this drop is more related to financial fears than to an imbalance between supply and demand. The group of oil producers therefore expects the market to stabilize soon.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25£/month*

*billed annually at 99£/year for the first year then 149,00£/year ​

Unlimited access • Archives included • Professional invoice

SUBSCRIBE - 99£/year

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2£/month*
then 14.90£ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

According to OPEC+, the fall in oil prices is due to financial fears and not to an imbalance between supply and demand. Four OPEC+ delegates told Reuters that the organization expects the market to stabilize. Crude fell to a 15-month low on Wednesday, with Brent crude below $72 a barrel, on concerns about the contagion of a banking crisis. However, crude stabilized on Thursday after Credit Suisse received a financial lifeline from Swiss regulators.

A “purely financial” drop in oil prices according to OPEC+.

OPEC+ delegates said the price drop is “purely financial and has nothing to do with oil demand and supply”. They also stated that the organization will wait for the situation to “normalize soon”. Three other delegates from the OPEC+ group made similar remarks.

The delegates’ comments will dampen any speculation that OPEC+ is considering new measures to support the market. The next political meeting of the group will not take place until June, but an advisory group of key ministers will meet on April 3.

Despite falling oil prices, OPEC+ sticks to its targets

Last November, with prices weakening, OPEC+ cut its production target by 2 million bpd – the largest reduction since the early days of the COVID-19 pandemic in 2020. The same reduction applies to all of 2023. The Algerian and Kuwaiti ministers welcomed the decision this week and the Saudi energy minister told Energy Intelligence that OPEC+ would stick to the reduced target until the end of the year.

OPEC’s latest monthly oil market report, released on Tuesday, was also cited by one of the delegates, who said the report indicated a good balance between supply and demand. Another of the sources said that OPEC+ is focusing on market fundamentals.

In summary, OPEC+ believes that the fall in oil prices is not due to a supply-demand imbalance, but to financial fears. The organization will wait for the situation to normalize soon and is not planning any new measures to support the market at this time. OPEC+ is sticking to its production target of 2 million bpd until the end of the year.

  • Popular on energynews.pro
G7 launches over 20 projects to counter Chinese influence on critical minerals
Sinopec and LG Chem Sign Agreement to Develop Sodium-Ion Battery Materials
Shell launches a large debt exchange offer for $8.4 billion of dollar-denominated bonds
EDF gets go-ahead for Hinkley Point B decommissioning
ACWA Power signs $10bn in energy and financing deals at FII9
Sunoco finalises the acquisition of Parkland Corporation and prepares for New York listing
Texas-based Sunoco has completed the acquisition of Canadian company Parkland Corporation, paving the way for a New York Stock Exchange listing through SunocoCorp starting November 6.
bp divests non-controlling interests in US onshore midstream assets for $1.5 billion
BP sells non-controlling stakes in its Permian and Eagle Ford midstream infrastructure to Sixth Street for $1.5 billion while retaining operational control.
Shell secures exclusive negotiation rights on three offshore oil blocks in Angola
Angola enters exclusive negotiations with Shell for the development of offshore blocks 19, 34, and 35, a strategic initiative aimed at stabilizing its oil production around one million barrels per day.
Chad aims to double its oil production to 250,000 barrels per day by 2030
Faced with declining production, Chad is betting on an ambitious strategy to double its oil output by 2030, relying on public investments in infrastructure and sector governance.
Two SANAD Drilling Rigs to Resume Operations in Saudi Arabia by Mid-2026
The SANAD drilling joint venture will resume operations with two suspended rigs, expected to restart in March and June 2026, with contract extensions equal to the suspension period.
Dragon Oil and PETRONAS Forge Strategic Oil Exploration Agreement
Dragon Oil, a subsidiary of Emirates National Oil Company, partners with PETRONAS to enhance technical and commercial cooperation in oil and gas exploration and production.
Canadian Natural Takes Full Control of Albian Mines After Asset Swap with Shell
Canadian Natural Resources has finalized a strategic asset swap with Shell, gaining 100% ownership of the Albian mines and enhancing its capabilities in oil sands without any cash payment.
Imperial sees quarterly net income drop 56% despite record production
Canadian producer Imperial posted net income of CAD539mn in the third quarter, down year-on-year, impacted by exceptional charges despite record production and higher cash flows.
Chevron outperforms despite 21% drop in quarterly profit
The US oil giant beat market forecasts in the third quarter, despite declining results and a context marked by falling hydrocarbon prices.
Vallourec secures over 20,000-ton pipeline contract in Brazil
The French group will supply carbon steel pipelines to TechnipFMC for the offshore Orca project, strengthening its strategic position in the Brazilian market.
ExxonMobil hit by falling prices despite record output in Guyana
The American oil major saw its revenue decline in the third quarter, affected by lower crude prices and refining margins, despite record volumes in Guyana and the Permian Basin.
Gabon signs deepwater oil exploration deals with BP and ExxonMobil
Gabon strengthens its oil ambitions by partnering with BP and ExxonMobil to relaunch deep offshore exploration, as nearly 70% of its subsea domain remains unexplored.
Bulgaria halts fuel exports to EU after sanctions on Lukoil
Sofia temporarily restricts diesel and jet fuel exports to safeguard domestic supply following US sanctions targeting Lukoil, the country’s leading oil operator.
Lukoil sells its African oil assets to Gunvor under pressure from US sanctions
Swiss trader Gunvor will acquire Lukoil’s African stakes as the Russian company retreats in response to new US sanctions targeting its overseas operations.
Amapá hosts strategic oil complex with Petrobras and Transpetro
An agreement between Transpetro, Petrobras and the government of Amapá provides for the construction of an industrial complex dedicated to oil and gas, consolidating the state's strategic position on the Equatorial Margin.
Phillips 66 posts adjusted earnings of $1.02bn in third quarter
The US company reported adjusted earnings of $1.02bn between July and September, supported by the refining and chemicals segments despite a drop in net income due to exceptional charges.
Repsol posts 34% profit drop over nine months despite UK operations
The Spanish oil group reported a net profit of €1.18bn over the first nine months of 2025, hit by unstable markets, falling oil prices and a merger that increased its debt.
Shell posts higher quarterly profit and launches $3.5bn share buyback
The British group’s net profit rose 24% in Q3 to $5.32bn, supporting a new share repurchase programme despite continued pressure on crude prices.
TotalEnergies and Shell boost profits despite falling oil prices
Third-quarter results show strong resilience from European majors, supported by improved margins, increased production and extended share buyback programmes.
Global petrochemicals market to reach $794 billion by 2034
Driven by industrial demand and production innovations, the global petrochemicals market is projected to grow by 5.5% annually until 2034, reaching a valuation of $794 billion.

All the latest energy news, all the time

Annual subscription

8.25£/month*

*billed annually at 99£/year for the first year then 149,00£/year ​

Unlimited access - Archives included - Pro invoice

START - 99£/year

Monthly subscription

Unlimited access • Archives included

5.2£/month*
then 14.90£ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.