{"id":52257,"date":"2026-08-02T23:29:10","date_gmt":"2026-08-02T17:44:10","guid":{"rendered":"https:\/\/nepalsamaj.com\/en\/?p=52257"},"modified":"2026-08-02T23:32:17","modified_gmt":"2026-08-02T17:47:17","slug":"opec-boosts-september-production-by-188000-barrels-day","status":"publish","type":"post","link":"https:\/\/nepalsamaj.com\/en\/opec-boosts-september-production-by-188000-barrels-day\/","title":{"rendered":"OPEC+ boosts September production by 188,000 barrels\/day"},"content":{"rendered":"
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Saudi Arabia, Russia and five other key members of OPEC+ agreed in an online meeting Sunday to boost oil production by 188,000 barrels a day from September, against a backdrop of disruption caused by the Mideast war.<\/p>\n

“The seven participating countries decided to implement a production adjustment of 188 thousand barrels per day,” they said in a joint statement.<\/p>\n

The increase, decided by the key countries in the enlarged Organisation of the Petroleum Exporting Countries, was widely expected by analysts.<\/p>\n

“OPEC+ has finished unwinding its voluntary cuts. The next challenge is managing the surplus that could emerge as export flows normalise,” said Jorge Leon, analyst at Rystad Energy.<\/p>\n

He warned, however, that “today’s 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.”<\/p>\n

The Gulf countries have struggled to increase exports due to the near-paralysis of the Strait of Hormuz orchestrated by Iran during the war in the Middle East — despite a brief upswing in shipping traffic after a US-Iran memorandum of understanding was signed in June.<\/p>\n

Many OPEC+ members cannot produce as much oil as their official targets allow due to a “decline in production capacity”, so increasing targets has become less meaningful, said Giovanni Staunovo, an analyst at UBS.<\/p>\n

– Future pause foreseen –<\/p>\n

The September increase, agreed by OPEC+ countries Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman, completes the unwinding of the second of the three production-cut packages introduced by organisation.<\/p>\n

“Having completed the restoration campaign, OPEC+ has little incentive to rush into further supply changes. Our base case is a fourth-quarter pause while the group prepares for the 2027 quota negotiations,” said Rystad Energy’s Leon.<\/p>\n

“For now, geopolitics is masking the scale of the supply increase. That will become much clearer once export flows normalise,” he said.<\/p>\n

It remains unclear when the group will actually be able to increase its oil volumes. Some member countries, such as Iraq, have expressed a desire to significantly boost production.<\/p>\n

Russia, though, is confronted with repeated Ukrainian drone attacks on its oil infrastructure that have crimped production, currently hovering around nine million barrels per day — compared with a target of 9.8 million barrels per day.<\/p>\n

OPEC+ “faces potentially difficult talks over new production quotas” starting next year following the September increase, according to analysts at DNB Carnegie.<\/p>\n

Between late 2022 and 2023, OPEC+ became concerned that oil prices were falling, and agreed to cut oil production in three separate rounds, reducing total output by nearly six million barrels per day.<\/p>\n

But Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, Oman and the United Arab Emirates — before the latter’s exit from the group on May 1 — then changed their strategy by gradually upping production starting in 2025.<\/p>\n

“I don’t think cohesion is at risk at this very moment,” said Leon, warning, however, that the UAE’s withdrawal from the group in May has highlighted a weakness in this area.<\/p>\n","protected":false},"excerpt":{"rendered":"

Saudi Arabia, Russia and five other key members of OPEC+ agreed in an online meeting Sunday to boost oil production by 188,000 barrels a day from September, against a backdrop of disruption caused by the Mideast war. “The seven participating countries decided to implement a production adjustment of 188 thousand barrels per day,” they said […]<\/p>\n","protected":false},"author":1,"featured_media":26080,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[15],"tags":[],"class_list":["post-52257","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-world"],"_links":{"self":[{"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/posts\/52257"}],"collection":[{"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/comments?post=52257"}],"version-history":[{"count":1,"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/posts\/52257\/revisions"}],"predecessor-version":[{"id":52258,"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/posts\/52257\/revisions\/52258"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/media\/26080"}],"wp:attachment":[{"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/media?parent=52257"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/categories?post=52257"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/nepalsamaj.com\/en\/wp-json\/wp\/v2\/tags?post=52257"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}