U.S. Markets closed

Saudi Oil Min: Deal to Gradually Boost OPEC Output `Inevitable'

Elena Mazneva
Khalid al-Falih, Saudi Arabia's energy minister, looks on during a panel debate at the St. Petersburg International Economic Forum (SPIEF) in St. Petersburg, Russia, on Friday, May 25, 2018. The economic forum this year will be attended by President Vladimir Putin and French President Emmanuel Macron, and panels include everything from how to do business in Russia to biotechnology and blockchain.

It’s “inevitable” that OPEC and its allies will agree to boost oil output gradually at their meeting in Vienna next week, said Saudi Arabia’s Energy Minister.

“As usual we will do the right thing,” Khalid Al-Falih told reporters in Moscow on Thursday. “I think we’ll come to an agreement that satisfies most importantly the market.”

Russia and Saudi Arabia, leaders of the deal between the Organization of Petroleum Exporting Countries and other major oil producers to curb output and boost prices, will discuss their next move in Moscow on Thursday as the two nations face off at the soccer World Cup.

Russian President Vladimir Putin and Saudi Crown Prince Mohammed bin Salman, along with Al-Falih and his Russian counterpart, will discuss how to boost oil production while maintaining their petro-alliance and overcoming opposition to an increase from other OPEC members.

More from Bloomberg.com: Bitcoin Extends Its Collapse

Both nations have proposed plans for the so-called OPEC+ group that would add as much as 1 million barrels a day, about 1 percent of global output, although Riyadh prefers a smaller increase, according to people familiar with the matter.

“I think it will be a reasonable and moderate agreement,” Al-Falih said. “It’s not going to be anything outlandish.”

More from Bloomberg.com

Read Saudi Oil Min: Deal to Gradually Boost OPEC Output `Inevitable' on bloomberg.com