The Organization of the Petroleum Exporting Countries and its oil-producing allies, aka OPEC-plus, are poised to boost production again in August to meet mounting demand and offset flat output among cost-conscious U.S. shale producers.

OPEC-plus

OPEC researchers said they expect that, absent production increases, demand will outstrip supply by 1.5 million b/d in August and widen further to 2.2 million b/d before the end of 2021. That could set the stage for further OPEC-plus supply increases in August.

OPEC-plus policymakers meet Thursday to decide production plans for August and perhaps ensuing months. The cartel is currently adding more than 2 million b/d into the global market, a process started in May and scheduled to carry through July. Early market expectations are for an additional...