UPDATE 2-OPEC+ weighs oil cuts extension, sees weaker compliance

* OPEC+ scheduled to raise output in January by 2 million
bpd
* Talks focusing on delaying increase further into 2021
* OPEC+ figures show weaker October compliance, source says

(Updates with JTC meeting ending)
By Rania El Gamal, Alex Lawler and Ahmad Ghaddar
DUBAI/LONDON, Nov 16 (Reuters) - OPEC and allies including
Russia are leaning towards postponement of a planned January
increase to oil output by at least three months to support
prices as the COVID-19 pandemic continues its second wave,
sources told Reuters on Monday.
The OPEC+ group of producers was due to raise output by 2
million barrels per day (bpd) in January - about 2% of global
consumption - as part of a steady easing of record supply cuts
implemented this year.
But with demand for fuel weakening, OPEC+ has been
considering delaying the increase or even making further cuts.
An option gaining support among OPEC+ nations to keep the
existing curbs of 7.7 million bpd for a further three to six
months, OPEC+ sources said, rather than tapering the cut to 5.7
million bpd in January.
"A three-month extension is highly likely," said one OPEC+
source.
Two OPEC+ committees are meeting virtually this week. The
Joint Technical Committee (JTC) held its meeting on Monday and
the Joint Ministerial Monitoring Committee, which can recommend
policy steps to OPEC+, meets on Tuesday.
OPEC+ will have a full meeting on Nov. 30 and Dec. 1 to
decide output policy for next year.
Algeria, currently holder of OPEC's rotating presidency, has
backed an extension of existing cuts and top exporter Saudi
Arabia has said the OPEC+ deal could be "tweaked". Monday's JTC meeting also discussed figures showing OPEC+
compliance with pledged curbs was 96% in October - less than
previously thought - after inclusion of compensatory cuts for
past excess production by some countries, an OPEC+ source said.

The figures suggested little month-on-month progress in
ensuring countries that overproduced in previous months made
extra cuts now. Russia's cumulative overproduction was seen at
531,000 bpd and Iraq's at 610,000 bpd, the source said.
Oil nonetheless was trading above $44 a barrel on Monday,
finding support from hopes of a COVID-19 vaccine and for further
action by OPEC+. O/R