Seven countries of the OPEC+ group have agreed to increase their combined oil production limit in September by 188 thousand barrels per day compared to August. The decision concerns Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman.
According to the organization, the producers are continuing to gradually phase out the voluntary cuts introduced in April 2023. The measure is also intended to support the stability of the global oil market and allow some states to more quickly compensate for earlier overproduction. The countries have committed to fully making up for volumes produced above the set limits since January 2024, no later than the end of 2026.
The largest increases will fall to Russia and Saudi Arabia. Both countries will be able to increase production in September by 62 thousand barrels per day. Russia's limit will thus reach 9.949 million barrels per day and Saudi Arabia's 10.478 million barrels.
Iraq will be able to increase production by 26 thousand barrels to 4.431 million barrels per day. Kuwait's limit will rise by 16 thousand to 2.676 million barrels, Kazakhstan's by ten thousand to 1.628 million, and Algeria's by six thousand to 1.007 million barrels per day. Oman will be able to produce five thousand more barrels, totalling 841 thousand barrels per day.
The September decision completes the gradual phasing out of voluntary production cuts of approximately 1.65 million barrels per day that were adopted in 2023. However, another portion of the production cuts introduced back in 2022 remains in force. Those are, according to current plans, set to continue until the end of this year.
The actual impact of higher quotas on global oil supply will also depend on the ability of individual countries to utilize the new limits and on developments in the geopolitical situation. The next meeting of the seven OPEC+ producers is scheduled for September 6, when they will discuss production limits for October.
gnews.cz - GH