Vienna: The members of the Organization of the Petroleum Exporting Countries (OPEC) on Friday agreed to jointly increase oil production, which is estimated to be about one million barrels a day.
The deal, which came after a week of tense negotiation, was announced at a press conference in Vienna and is aimed at easing fears of a global supply crunch, reported CNN Money.
The group would increase its output to the maximum allowed under the terms of a production agreement struck in 2016, the report quoted the current head of OPEC and energy minister of the United Arab Emirates (UAE) Suhail Mohammed Faraj Al Mazrouei, as saying.
Saudi Arabia, OPEC's de facto leader, and a major American ally has pushed for a change in course.
It is scheduled to meet with Russia and several other producers on Saturday to discuss their role in easing production limits.
US President Donald Trump zeroed in on the decision of the major oil-producing countries.
"Hope OPEC will increase output substantially. Need to keep prices down!" he said in a tweet.
On a related note, Union Minister for Petroleum and Natural Gas Dharmendra Pradhan attended the seventh international seminar of the Organization of the Petroleum Exporting Countries (OPEC) in Vienna on Wednesday.
Pradhan had pitched for "responsible pricing" which balances the interests of both producer and consumer.
"The world has for far too long seen a rollercoaster in prices and interventions which are detached from market fundamentals. It is high time to move towards responsible pricing, one that balances the interests of both producer and consumer. We also need to move to transparent and flexible markets for both oil and gas," he said at the seventh international seminar of the Organization of the Petroleum Exporting Countries (OPEC) in Vienna on Wednesday.