OPEC Output Jumps 1.17mmbbl/d in July on Gulf Supply Recovery

OPEC's crude oil production rose by 1.17 million barrels per day in July, driven by increased output from Gulf producers that had restored supplies disrupted by the Iran conflict and the closure of the Strait of Hormuz.

The Organization of Petroleum Exporting Countries saw its production reach 19.85 mmbbl/d in July, marking a significant monthly increase and extending the recovery from May when output fell to its lowest level since at least 2000.

Iraq led the way with the largest production increase among OPEC members, followed by Kuwait, while Iran also increased its oil exports despite shipments slowing after the United States resumed its blockade of Iranian ports in mid-July. Saudi Arabia's production edged lower during the month, and Libya saw an increase as its oil shipments remained unaffected by the US-Israeli conflict with Iran.

The increase came as seven members of the wider OPEC+ alliance agreed to raise production in July, but the escalation of the Middle East conflict prevented the group from fully implementing the planned increase. The figures exclude the UAE, which withdrew from OPEC effective May 1.