Russian and Saudi production has been held back voluntarily since 2017, when OPEC, together with non-OPEC producers, started supply cuts of 1.8 million bpd to prop up prices. Most of that non-OPEC supply growth would come from the USA, it said.
Oil prices turned positive on Wednesday after a bigger-than-expected decline in US crude inventories along with surprise drawdowns in gasoline and distillates indicated strong demand in the world's top oil consumer. The country pumped 11.09 million barrels a day in the first week of June, according to a person with knowledge of the matter, exceeding its agreed limit of 10.95 million.
Putin and the crown prince will have a talk on the OPEC+ deal and the oil market situation, yet pulling out of the accord isn't something they plan to discuss, Kremlin spokesman Dmitry Peskov said Wednesday. The Organisation of Petroleum Exporting Countries (Opec) collectively produces some one third of global oil supply.
The two countries share a common view that production should increase gradually, but the precise volume of oil that could be returned to the market and the timing of the boost will be discussed with other ministers next week, Novak said.
US West Texas Intermediate (WTI) crude futures were at $66.58 a barrel, down 6 cents from their last settlement.
"Oil prices are too high, OPEC is at it again".
"The deluge of USA crude production continues to hold the top-side in check", said Stephen Innes, head of trading at futures brokerage OANDA.
Putin presents national awards on Russia Day
President Donald Trump , predictably, did not leave his little temper tantrums at the White House. The last meeting between Trump and Putin was a brief exchange in Vietnam last November.
But the USA request and a Trump tweet in April that blamed OPEC for high oil prices has caused a split within the oil group, with some members accusing Saudi Arabia of being too eager to do Trump's bidding.
Futures rose 0.8 percent to 468.1 yuan a barrel in afternoon trading on the Shanghai International Energy Exchange.
The rising stocks are in part a result of the surge in US crude oil production C-OUT-T-EIA, which has jumped by 28 percent in the last two years, to a record 10.8 million barrels per day (bpd). That was a result of an increase in supply from Russia, Venezuela and other Opec nations desperate for cash and an important new arrival on the scene - fracking firms in the United States, which had begun pumping huge quantities of oil and gas.
Those against an increase this time are concerned it would threaten the unity of the 24-nation alliance involved in the deal and say forecasts from OPEC and others calling for higher demand in the second half of 2018 are too optimistic. Producers meet on June 22-23 to set policy.
Brent crude LCOc1 was up 87 cents, or over 1 percent, at $76.75 a barrel by 1:38 p.m. EDT (1938 GMT).
Trump drew lots of tweeted responses, including one from oil hedge fund founder Pierre Andurand, who expects prices will be above $150 a barrel in less than two years.