As expected, OPEC+ Russia and its alliance partners of 10 countries agreed to meaningful production cuts to shore up an oversupplied market caused by significant demand destruction from the novel coronavirus's spread across the globe. Thirty million barrels per day (bpd) of oil are expected to be wiped from demand the month of April. The OPEC General Secretary Mohammed Barkindo suggested that an estimated 12 million bpd of potential reduced consumption, maybe more, could be expected in the second quarter.
Saudi Arabia is expected to curb output from a current production level of 12 million