Output increases from oil producer group OPEC+ are not leading to higher inventories, showing that markets are thirsty for more oil, ministers and executives from OPEC nations and bosses of Western oil majors said on Wednesday.

The trading slump may be confined to Shell, the biggest European energy company, but it could also be indicative of difficulties affecting others.

The Organization of Petroleum Exporting Countries (OPEC) continues to boost oil production, with more than 500,000 additional barrels per day set to hit global markets in August, in a bid to regain market share lost to other oil producers,

Global oil prices are poised to fall below $60 per barrel by year-end as Opec+ accelerates its unwinding of production cuts, catching markets off guard with an aggressive push to reclaim market share.

OPEC+ is accelerating its oil production increases, aiming to fully unwind its 2023 supply cuts by September, risking an oversupplied market and pressuring U.S. shale producers.

OPEC+ jolted markets by announcing it would flood the market with more oil.

OPEC oil output rose in June, a Reuters survey found, led by Saudi Arabia after an OPEC+ agreement to raise production, although the increase was limited as Iraq pumped below target to compensate for earlier overproduction.

Crude oil outlook turns bearish as geopolitical risks ease, OPEC plans a supply hike, and demand signals remain weak ahead of next week’s trade.

Sarah Emerson, President of ESAI Energy, talks about OPEC+ latest production hike, summer demand and supply. She speaks to Bloomberg's Joumanna Bercetche from the sidelines of OPEC's 9th International Seminar in Vienna.