Seven OPEC+ countries agreed to increase production quotas in July
7 June 22:14
Seven OPEC+ member countries have agreed to a modest increase in their oil production targets—the fourth such increase in recent months—despite the fact that the U.S. conflict with Iran continues to prevents a number of group members from increasing production. This is reported by "Komersant Ukrainian" citing Reuters.
In July, the production quotas of seven OPEC+ countries, including Russia and Saudi Arabia, will increase by 188,000 barrels per day, matching the increase in June. Russia’s quota for July is 9.824 million barrels per day.
The group’s actual production fell sharply due to reduced exports by Gulf countries, averaging 33.19 million barrels per day in April compared to 42.77 million in February, according to OPEC data.
The next meeting of the seven OPEC+ countries will take place on July 5; the monitoring committee will continue to meet once every two months. The major OPEC+ ministerial meeting is scheduled for November 29.
The alliance’s statement notes that the countries will continue to closely monitor and assess the market situation. As part of efforts to support market stability, they reaffirmed the importance of a cautious approach and maintaining full flexibility regarding increases, suspending, or canceling the phased withdrawal of voluntary production adjustments, including the cancellation of previously implemented voluntary adjustments announced in November 2023.
The war in Iran has reduced oil flows through the Strait of Hormuz, creating the world’s largest supply crisis, as key OPEC members have been unable to fully supply oil to consumers since late February. The crisis for OPEC intensified after the United Arab Emirates (UAE) withdrew from the OPEC oil export cartel after nearly 60 years of membership.
Seven major OPEC+ members increased their production quotas by nearly 600,000 barrels per day from April through June.
