Crude oil prices fell on Monday after the decision by the Organisation of the Petroleum Exporting Countries and non-OPEC members to raise crude supplies to about one million barrels by starting from July 1.
The move was aimed at compensating producers for production loss at a time of rising global consumption.
Nigeria was originally exempted from the initial output capping due to the volatility in the Niger-Delta, which brought the country’s crude oil down to less than one million barrel per day.
OPEC and non-OPEC removed about 1.8 million from the market to boost crude oil prices. Though crude oil prices witnessed a little increase on Friday while the OPEC meeting was going on, but international benchmark for oil prices – Brent crude crashed from $75.32 a barrel to $74.44 per barrel.
However, West Texas Intermediate went down by 0.3 per cent to settle at $68.40 a barrel.
Nigeria’s Bonny Light crude oil also increased from $73.04 a barrel to $74.60 per barrel during the trading hours on Monday.