Oil price increased on Monday following Saudi Arabia’s announcement it would reduce production by a million barrels per day (bpd) in July.
In an effort to support falling prices, more members of Opec+, a group of oil-producing nations, also consented to continued production cuts.
Around 40% of the world’s crude oil is produced by Opec+, and its actions can significantly affect oil prices.
On Monday, Brent crude oil increased as much as 2.4% in Asian trading before ending at about $77 per barrel.
From 2024, according to Opec+, output goals will decline by a further 1.4 million bpd.
The oil-rich countries met on Sunday for seven hours against a backdrop of declining energy prices.
When Russia invaded Ukraine last year, oil prices skyrocketed, but they have since dropped to levels seen before the conflict started.
The Organization of Petroleum Exporting Countries and its allies, often known as Opec+, decided to reduce output by two million bpd, or around 2% of global demand, in October of last year.
The committee decided on additional cuts in April of this year, which were scheduled to run until the end of the year. Alexander Novak, the deputy prime minister of Russia, however, said that the talks on Sunday resulted in “the extension of the deal until the end of 2024.”