OPEC+ to Boost Oil Production by 137,000 Barrelsโ Per Day โขin December
Eight countries within the OPEC+ group will collectively increase oil production by 137,000 barrels per day starting in December, according to a recent statement. The nations – Saudi Arabia,Russia,iraq,the United Arab Emirates,Kuwait,Kazakhstan,Algeria,and โขOman – had โฃpreviously agreed to voluntary production โadjustments.
This adjustment builds upon a broader trend ofโ increased output since April 2023, โwhen the group โฃbegan to unwind earlierโฃ cuts. In total, producers have โฃagreed โฃto a production increase โexceeding 2.7 million barrels per day, representing roughly 2.5 percent of global demand.โ
Of the eight countries increasing production, five are members of OPEC, while Russia, Kazakhstan, and Oman โare part of the expanded OPEC+ group. The decision comes after a period of production cuts spanning several years, peaking in Marchโข at 5.85 million barrels per day. These cuts comprised voluntary reductionsโฃ of 2.2 million barrels per day, 1.65 million barrelsโ per day fromโ the eightโ participating countries, and โan additional two million barrels per day across the entire group.
The eight producers initially aimed to fully reverse the 2.2 million barrel per day cuts by the end of September and โhave โsince begun toโ remove the 1.65 million barrel per day adjustments.
Oil โคprices experienced a dip to a five-month low of around $60 a barrel โin October amid concerns of a potential oil glut, but have since partially recovered to approximately โข$65 a barrel, influenced โคby sanctions against Russia and optimism surroundingโ US trade discussions.