OPEC+ Maintains Status Quo on Oil Production Amid Global Market Uncertainty

The OPEC+ cartel, consisting of seven countries including Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman, has maintained its current oil production levels for October. At a meeting held on September 6 to review global market conditions, the group decided not to adjust its output targets at this time.

The OPEC+ countries had previously announced additional voluntary adjustments in April and November 2023. However, they plan to draw up a new agreement on quotas to be allocated to each member before deciding on their next output targets.

Earlier in August, the OPEC+ group approved an increase in its crude production quota by around 188,000 barrels per day from September, which restores the earlier production cuts that were rolled out by the oil cartel in 2023. However, this decision has a limited impact on global oil supplies due to the ongoing Middle East conflict and disruptions to oil exports.

Oil prices have been rising, with prices hovering at around $91.5 a barrel during the end of the week, up from an 8-10% rise as the US and Iran engaged in a fresh round of missile attacks.