OPEC+ will likely stick to existing policies of moderate output increases even as it expects demand to rise to new peaks this year and as oil prices trade near their highest since 2014.
The group, which comprises of the Organization of the Petroleum Exporting Countries and allies led by Russia and produces over 40% of global supply, has faced pressure from top consumers such as the United States and India to pump more to help the economic recovery from the pandemic.
But OPEC+ has refused to adhere to speedier increases of 400,000 barrels per day in March, arguing that the world is facing an energy shortage due to poorly calculated energy transitions to greener fuels by consuming nations.
Reuters quoted several OPEC+ sources as saying that prices had been pushed up by Russia-US tensions. Washington has accused Moscow of planning to invade Ukraine, which Russia denies.
OPEC+ oil output increases are complicated by the fact that several OPEC members have struggled to meet even current monthly targets and lack spare capacity to boost production any further.
Brent crude was trading up one percent above $90 a barrel on Wednesday and touched a seven-year high of $91.70 last week, amid tensions in Europe and the Middle East.
A report prepared by the committee, known as the Joint Technical Committee (JTC), and seen by Reuters, kept the 2022 forecast for world oil demand growth unchanged at 4.2 million bpd, and said demand would hit pre-pandemic levels in the second half of the year.
Oil demand was slightly above 100 million bpd in 2019 but was hammered by the pandemic in 2020, when OPEC+ cut its production by a record 10 million bpd or 10 percent of global supply.
The report still said the world would face a crude surplus in 2022 reaching 1.3 million bpd, slightly less than its previous forecast of 1.4 million bpd.
The remaining cuts stand at 2.6 million bpd and OPEC+ hopes to wind them down before the end of the year.
