OPEC+ Keeps Oil Production Targets Unchanged Amid Ongoing Conflict

OPEC+ members have decided to maintain their oil production targets for November at the same level as in September, marking an extension of a pause in output increases that began last month. The decision was made during a meeting in the UAE on Sunday, with seven countries participating: Saudi Arabia, Iraq, Kuwait, Oman, Algeria, Russia, and Kazakhstan.

The group's production targets have been unchanged since October, when they first paused their gradual output increases. This pause followed six months of production hikes. OPEC+ is currently reviewing its members' production capacities to determine quotas for 2027.

The oil market has been affected by the ongoing conflict in the region, with most participants producing below their set targets. The Strait of Hormuz, which accounts for around one-fifth of global crude oil and liquefied natural gas shipments, has effectively been closed since February 28 when hostilities between the US and Iran began.

The latest production cuts agreed upon in 2022 will remain in force until the end of 2026. Brent crude closed at $102.25 per barrel on Friday, while US WTI fell by 1.9% to $91.11 per barrel.