Oil price falls below $90 a barrel ahead of OPEC+ meeting

Oil prices dropped slightly ahead of the meeting of the Organisation of the Petroleum Exporting Countries and its allies, known as OPEC+.

Brent crude futures, global oil benchmark, fell 0.03 percent to $89.23 a barrel at 10.22 GMT+1 on Tuesday, while West Texas Intermediate fell 0.05 percent to $88.11 a barrel. 

Last week, global oil price rose to $90 a barrel for the first time since October 2014.

Over the past months, oil prices have continued to surge as countries relaxed lockdowns and dropped travel restrictions.

OPEC and its allies adopted a production cut system to prop up prices and prevent an oversupply in the global oil market. 

On Wednesday, OPEC and its allies would deliberate output plans for March. Since August 2021, it has been increasing its output target by 400,000 barrels per day. 

In December 2021, Nigeria’s crude oil production declined by 78,000 barrels per day (bpd), producing an average of 1.2 million barrels per day.

It is expected that tomorrow’s meeting will focus on rising tension between Russia and Ukraine which raises concerns about oil production disruption in Russia, a major oil supplier to Europe.