The Organization of the Petroleum Exporting Countries (OPEC) daily basket price stood at 21.18 U.S. dollars a barrel on Monday, compared with 21.77 dollars on last Thursday, according to OPEC Secretariat calculations released Tuesday.
Also known as the OPEC reference basket of crude oil (ORB), the OPEC basket is a weighted average of oil prices from different OPEC members around the world, and is used as an important benchmark for crude oil prices.
It currently averages the oil prices of 13 countries, namely Algeria, Angola, the Republic of the Congo, Equatorial Guinea, Gabon, Iran, Iraq, Kuwait, Libya, Nigeria, Saudi Arabia, the United Arab Emirates and Venezuela.
The OPEC and its allies led by Russia, a group known as OPEC+, agreed on Sunday to reduce output by 9.7 million barrels per day (bpd) for May and June after four days of talks.
According to an OPEC statement on the deal, from July through the end of 2020, the cut will decrease to 7.7 million bpd, and will then be followed by an adjustment of 5.8 million bpd for another 16 months till the end of April 2022.
Experts and various institutions had warned that oil demand would plunge this year due to the COVID-19 pandemic. Enditem
