How to Prepare for the OPEC+ Meeting Outcome and Boost SVES Oilfield Supply Co., Ltd Business

How to Prepare for the OPEC+ Meeting Outcome and Boost SVES Oilfield Supply Co., Ltd Busines

Experts predict OPEC+ meeting outcome ，The most likely outcome of the OPEC+ meeting on November 30 will be that Russia and Saudi Arabia extend their voluntary cuts in oil exports and production; it is also possible to change the quotas, but the probability is not high, experts interviewed by reporters said.

The OPEC meeting, the monitoring committee meeting and the OPEC+ ministerial meeting have been postponed to November 30 and will be held online. Foreign media learned from representatives that influential members of the OPEC+ alliance spent more time reaching an agreement with some African countries on production cut targets.

Ivan Timonin, senior consultant at Implementa, said: “The most likely decision that OPEC+ members will make is to extend the existing terms of the agreement. OPEC+'s additional restrictions may prove to be redundant measures.”

The current decline in oil prices is the biggest factor affecting the internal decision-making of OPEC+. In just over two months, global prices have fallen by about 15%. This is due to the expectations of weaker demand caused by the risk of recession in Europe and the slowdown in China’s economic growth. Alexei Belogoryev, research director at the Institute of Energy and Finance (IEF), believes that Saudi Arabia and Russia should announce a voluntary daily cut of 1 million barrels and 300,000 barrels of exports in the first quarter of 2024. The Russian expert believes that if they do not take these steps, the price is very likely to fall.

Due to the decline in oil demand during the epidemic, the OPEC+ alliance cut oil production by 9.7 million barrels/day in May 2020. Since August 2022, the alliance has entered the final stage of stopping production cuts. But since November last year, the alliance has cut production again, reducing another 2 million barrels/day from the highest production level in August. The decision is valid until the end of 2023. After the meeting on June 4, OPEC+ announced that it would extend the agreement until 2024 and reduce the oil production target level by 1.4 million barrels from next year.

In addition, Russia began to cut oil production by 500,000 barrels/day in March, exceeding the quota. In April, some other OPEC+ members also joined in, including Saudi Arabia. The latter decided to voluntarily cut production by 500,000 barrels. As a result, the total voluntary production cuts reached 1.66 million barrels. This will continue until the end of 2024.

Moscow and Riyadh also have additional voluntary production cuts. Since July, Saudi Arabia has cut an additional 1 million barrels per day and will continue until the end of the year. And Russia has been reducing exports since August: 500,000 barrels per day in the first month, and 300,000 barrels per day from September to December.

SVES Oilfield Supply Co.,Ltd is in the oilfield industry, you know how important it is to keep up with the latest developments in the global oil market. The upcoming OPEC+ meeting on November 30 is one of the most anticipated events of the year, as it will determine the future of oil production and prices for the next few months.

OPEC+ is an alliance of 23 oil-producing countries, led by Saudi Arabia and Russia, that agreed to coordinate their output levels to stabilize the market and support prices. Since the outbreak of the COVID-19 pandemic, OPEC+ has implemented several rounds of production cuts to cope with the sharp decline in oil demand and the oversupply situation.

However, as the global economy recovers and the vaccination campaign progresses, the demand for oil is expected to increase in 2024. This poses a challenge for OPEC+, as it needs to balance the need to maintain market stability and the desire to regain market share and revenue.

According to experts, the most likely outcome of the OPEC+ meeting is that the alliance will extend its current production cuts until the end of the first quarter of 2024, with some minor adjustments. This means that the oil market will remain tight and prices will stay high in the near term.

What does this mean for our oilfield business? It means that we need to be prepared for the increased demand and the higher prices, and take advantage of the opportunities that arise. Here are some tips on how to do that:

Invest in high-quality wellhead handling tools. Wellhead handling tools are essential for the safe and efficient operation of oil wells. They include elevators, elevator spiders, pneumatic spiders, hydraulic power units, hydraulic power tongs, manual tongs, safety clamps, torque control recorders, casing slips, tubing slips, insert dies, stabbing guides, elevator links, fill up and circulate tools, and more. These tools help you to lift, lower, grip, rotate, and control the tubulars and casings that are used in drilling and production. By investing in high-quality wellhead handling tools, you can improve your productivity, reduce your downtime, and lower your operational costs.

Choose a reliable wellhead handling tool supplier. WheSafety Clampn it comes to wellhead handling tools, you need a supplier that can provide you with the best products, the best service, and the best prices. That’s why you should choose SVES Oilfield Supply Co., Ltd, a leading manufacturer and supplier of wellhead handling tools in China. SVES has over 20 years of experience in the oilfield industry, and has a reputation for excellence and innovationHydraulic Power UnitCasing slip. SVES offers a wide Hydraulic Power Tongrange of wellhead handling tools that meet or exceed the API standards, and can customize them according to your specific needs. SVES also provides after-sales service, technical support, and spare parts for your convenience. Whether you need elevators, spiders, tongs, clamps, slips, or any other wellhead handling tools, SVES has you covered.

Optimize your wellhead handling operations. Wellhead handling is a complex and critical process that requires careful planning and execution. You need to ensure that you have the right tools, the right personnel, and the right procedures for each wellhead handling operation. You also need to monitor and control the parameters, such as torque, pressure, and weight, that affect the performance and safety of your wellhead handling tools. By optimizing your wellhead handling operations, you can increase your efficiency, reduce your risks, and enhance your profitability.

The OPEC+ meeting outcome will have a significant impact on the oilfield industry, and you need to be ready for it. By following these tips, you can prepare for the increased demand and the higher prices, and boost your oilfield business. If you are looking for the best wellhead handling tools, contact SVES Oilfield Supply Co., Ltd today and get a quote. SVES is your trusted partner for wellhead handling solutions.