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OPEC, other oil producers boosting production amid COVID-19 vaccine rollout: report

OPEC, other oil producers boosting production amid COVID-19 vaccine rollout: report
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The OPEC+ alliance agreed on Thursday to begin boosting their collective production of oil in the next three months, people with knowledge on the matter told The Wall Street Journal.

Talks between the Organization of the Petroleum Exporting Countries (OPEC) and other major oil producers ended in an agreement to start producing 350,000 barrels of oil a day in May due to the belief that the coronavirus vaccine rollout will begin to lead to pre-pandemic activity, the Journal reported.

The number of barrels would continue to go up in June and July leading to 450,000 barrels a day, the sources said. 

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Saudi Arabia was initially hesitant to increase output due to the coronavirus pandemic, but ultimately agreed to compromise, according to the report. 

The agreement, which is expected to be announced Thursday, was a compromise between the two countries.

European countries have been under fire for an allegedly slow vaccine rollout.

The U.S. vaccine rollout has sped up with many states offering the coronavirus vaccine for all adults.

Although there is hope that the end of the pandemic will come soon due to the vaccine, many health officials are warning against celebrating too quickly and lifting coronavirus restrictions for fear that cases could spike again.