The seven member countries of the OPEC+ alliance have decided to increase their oil production quotas by approximately 188,000 barrels per day (bpd) from September.
– Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman issued a joint statement, saying the decision reflects their collective commitment to supporting stability in the global oil market.
– The September increase finishes the phased rollback of a 1.65 million bpd supply cut originally agreed to in 2023, when the group still included the United Arab Emirates, which left OPEC in May.
– “OPEC+ has finished unwinding its voluntary cuts. The next challenge is managing the surplus that could emerge as export flows normalise,” said Jorge Leon, an analyst at Rystad Energy.
– He warned, however, that the “decision changes little in the near-term because” the Strait of Hormuz “remains constrained”. The real market impact will come when normal export flows resume, he said.
https://aje.news/mcmsi9?update=4824910