OPEC and allies agree to production hike

OPEC, along with 10 other oil producers including Russia, agreed on Friday in Vienna to increase crude output by 1Mb/d, which will imply a real increase of 600,000-700,000b/d starting in July.

Oil prices jumped by 2% on Friday following news of the increase.

Saudi oil minister Khalid al-Falih told reporters after the meeting that OPEC members will meet again tomorrow with Russia and the rest of the allied producers to decide on how to distribute the increased production among the countries.

The agreement came as a surprise following continued disagreement between member countries, but the raised output had been pushed strongly by the Saudis to combat falling production from some member countries, especially Venezuela. The crisis-stricken country is trying to revive E&P following a seven-month plunge in output. Venezuelan officials blame US sanctions and foreign sabotage for its production issues.

In a statement after the meeting, OPEC said that the past six months had seen "the global economy remain strong, oil demand relatively robust, and market rebalancing evidently continuing."

Also during the conference, Congo's request to join the organization was approved and the country finds itself admitted with immediate effect.