A major oil price spike has rattled the energy markets, putting a strain on the international economy, and forcing governments to react to supply constraints.
The surge has also made it more difficult for OPEC to keep global oil production at a steady level.
But OPEC has maintained a relatively tight grip on output despite the plunge in oil prices.
The Organization of the Petroleum Exporting Countries (OPEC) and the U.S. government are trying to contain the shock by trying to reduce demand through unconventional drilling techniques and by restricting the supply of oil through restrictions on imports.
The new pressure on supply has been spurred by a surge in global demand for oil from China, India, the Middle East, and Africa, according to a Bloomberg analysis of data from the World Energy Council and OilPrice.com.
The latest data, which came Monday, showed U.K. crude oil output hit a record high of 2.54 million barrels per day in June, its highest level in more than a decade, according the Energy Information Administration.
OPEC’s oil production also rose by 1.1 million barrels a day, which was its biggest monthly increase since December 2015, according data compiled by Bloomberg.
The oil markets will be at their highest levels since mid-2015, when they were buoyed by a spike in crude oil prices, according Brent crude oil futures, which have been rising since the beginning of the year.
OPEC is trying to keep its global oil output at about 4.5 million barrels to 5.0 million barrels.
The global supply of crude oil is down sharply from the record levels reached in 2015, with Brent crude prices falling more than 10% in June.
But oil prices have continued to rise, reaching a peak of $109.88 a barrel on June 20.
Brent has since fallen to $75.97, with the oil price index, which measures global demand, showing a decline of nearly 5% in the last month.
The index is set to rise to $99.10 next week.
For now, OPEC’s focus is on keeping global production at the current level.
The OPEC meeting, which begins on June 27 in Vienna, is expected to agree on a deal that will allow oil prices to rise more quickly and lower oil consumption.
It could also lead to the release of more production from the Organization of Petroleum Exports.OPEC also hopes to curb production by cutting production from OPEC members such as Russia, which has been the world’s biggest producer of crude.
But the Organization for the Petroleum Marketing International said Monday that it would continue to push for a cut to reduce global oil demand.
The U.N. has urged OPEC to cut production to limit the spread of the Middle Eastern oil crisis and to keep oil prices at levels below $100 a barrel, but OPEC has resisted the call.
OPEC and Russia have been negotiating over production cuts since last year.
A new OPEC deal could give OPEC more leverage to cut oil production by at least 1.5% next year, according Bloomberg calculations.
That would lead to higher prices and more oil consumption, which would lead the global economy to expand faster, according a Bloomberg calculation.
OPEC, the world oil cartel, and the United States and Canada are hoping to reach a deal to cut output that would also give them more leverage in negotiations over future cuts.