OPEC+ Prepares to Stop Raising Oil Output Targets
OPEC+ Prepares to Stop Raising Oil Output Targets What I Cover Julianne Geiger is a veteran energy journalist and market analyst with more than a decade of experience covering the global oil and… OPEC+ is preparing to approve one more production increase for September and then put the monthly quota parade on hold through the end of the year.
Saudi Arabia, Russia, Iraq, Kuwait, Algeria, Kazakhstan, and Oman are expected to raise their combined September target by about 188,000 barrels per day when they meet on August 2, sources told Reuters.
That would match the increases announced forJune, July, and Augustand complete the return of a 1.65-million-bpd voluntary cut agreed in 2023, adjusted for the UAE’s departure from OPEC in May.
One source said current production targets would remain in place from October until new quotas take effect in January 2027.
The pause would leave another 2 million bpd of group-wide cuts in place through the end of 2026.
Deciding what happens to those barrels will require OPEC+ to settle a much less pleasant matter: how much each member should be allowed to produce.
The group is reviewing the maximum sustainable production capacity of its members, which will be used to set 2027 baselines.
Iraq and other producers want higher quotas to reflect investments that have expanded their capacity.
Everyone wants credit for barrels they say they can pump.
Recent events have made the counting considerably messier.
The Iran war has reduced exports from several Middle Eastern members and cut deeply into the group’s effective spare capacity.
Iraq remains constrained by export bottlenecks.
| Product | Price | Change |
|---|---|---|
| Brent Crude | $102.14/bbl | +0.34% |
| WTI Crude | $96.90/bbl | +0.21% |
| EN590 Diesel | $846/MT | +0.18% |
| Jet Fuel A-1 | $1090/MT | +0.55% |
| Mazut M100 | $450/MT | -0.15% |
| Bitumen 60/70 | $470/MT | +0.08% |
| Sulphur Gran 99.5% | $470/MT | -0.44% |
| Urea 46% Gran | $650/MT | +1.12% |
| NPK 16-16-16 | $460/MT | -0.28% |
| Nat Gas TTF | $15.42/MMBtu | +0.92% |
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