Opec+ agrees on gradual oil quota increase: Update

Adds details on easing of Saudi cut

Opec+ members have agreed to gradually increase the group's crude production quotas in May-July, according to delegates. Saudi Arabia will unwind its extra 1mn b/d cut over the same period.

The agreement, struck at today's ministerial meeting, will see the group's collective output ceiling rise by 350,000 b/d in May, another 350,000 b/d in June and 441,000 b/d in July, four delegates told Argus.

Saudi Arabia will unwind its additional voluntary 1mn b/d cut by 250,000 b/d in May, 350,000 b/d in June and 400,000 b/d in July, according to one delegate.

The group also agreed to extend the deadline for compensatory cuts until the end of September, according to delegates. Previously, countries that produced above their quotas since May last year had until the end of July to fully compensate through additional cuts. The extension followed discussions over Kazakhstan's lack of compliance.

By Rowena Edwards, Nader Itayim and Ruxandra Iordache