Opec on track for 5-6 March meeting despite coronavirus

The Opec+ group will meet in Vienna this week as planned, despite growing concerns over coronavirus, Opec sources told Argus.

The rapid spread of the virus has led to conferences around the world being postponed or cancelled, including the annual CeraWeek energy conference in Houston later this month. But the Opec+ meetings are on track to take place on 5-6 March as scheduled. "So far, there is no change to the scheduled meetings this week," an Opec source said.

Members from some delegations are already on route — although there is a possibility that some may have to participate virtually as a result of virus-related travel constraints.

The decisions made at the Opec+ meetings will be closely watched, as the effects of the coronavirus outbreak on global oil demand continue to weigh on oil prices. Benchmark crude prices have dropped by 20-25pc since 20 January.

The Joint Technical Committee (JTC) that advises Opec+ recommended last month that the group cut a further 600,000 b/d from their combined output in the second quarter.

The gathering will draw ministers, government officials and delegates from across the world, along with analysts and journalists covering the meeting. The World Health Organisation has raised its risk assessment for coronavirus to "very high at a global level".

As of 1 March, Austria had 14 confirmed coronavirus cases, eight of which were located in Vienna. There have been more than 85,000 cases documented globally and 2,900 fatalities, most of them in China.

By Iain Packham

source: Argus Media