OPEC+ Keeps Oil Output Policy Unchanged Amid Ongoing Disruptions

OPEC+, a group of major oil-producing countries, has decided to keep its oil output policy unchanged for October, despite ongoing disruptions in the global market due to the Iran war. The decision was made at a meeting on Sunday, where seven core OPEC+ members agreed not to change their production targets.

The Iran conflict is limiting OPEC+'s influence over prices and market share, according to analysts. Jorge Leon of Rystad Energy said that 'OPEC+ currently has very limited power over the physical oil market.' He noted that while the group can adjust its production targets, it cannot guarantee that those barrels will be produced or reach the market.

The decision not to change output policy is seen as a pause in OPEC+'s production increases for the fourth quarter. The group still has another layer of production cuts in place until the end of 2026 and needs to review members' oil production capacity before deciding on quotas for 2027.