OPEC+ Approves 188,000 Barrels Per Day Output Increase for September

The Organisation of the Petroleum Exporting Countries and its allies (OPEC+) has agreed to increase oil production by 188,000 barrels per day from September, completing the rollback of a voluntary production cut introduced in 2023. The decision was reached during a virtual meeting involving Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman, amid ongoing supply disruptions caused by the conflict in the Middle East.

In a joint statement, the participating countries said the production adjustment reflected current market conditions and their commitment to maintaining stability in the global oil market. Analysts had widely anticipated the increase, noting that it marks the final phase of reversing the 1.65 million barrels-per-day voluntary output reduction agreed by the group in 2023.

Despite the higher production target, analysts said the immediate impact on global oil supply is likely to remain limited because exports through the Strait of Hormuz continue to face disruptions following the Middle East conflict. They added that some OPEC+ members are also producing below their quotas due to operational and infrastructure constraints, reducing the practical effect of the increased output targets.

Energy analysts expect OPEC+ to pause further production increases after September as the alliance begins negotiations on new production quotas for 2027. They noted that the group is also reviewing members' production capacities while monitoring global demand and geopolitical developments before making additional supply decisions.

The latest decision follows a series of monthly production increases introduced since 2025 as OPEC+ gradually unwound previous output cuts aimed at supporting crude oil prices. While another layer of production cuts introduced in 2022 remains in force until the end of 2026, the alliance said it would continue assessing market conditions before determining future production levels.