The Organisation of Petroleum Exporting Countries (OPEC) and its allies known as OPEC+ on Sunday agreed to raise oil production by 547,000 barrels per day for September, the latest in a series of accelerated output hikes to regain global market share.
This was as concerns mounted over potential supply disruptions linked to Russia.
The move marked a full and early reversal of OPEC+’s largest tranche of output cuts plus a separate increase in output for the United Arab Emirates amounting to about 2.5 million bpd, or about 2.4 per cent of world demand.
Eight OPEC+ members held a brief virtual meeting, amid increasing US pressure on India to halt Russian oil purchases – part of Washington’s efforts to bring Moscow to the negotiating table for a peace deal with Ukraine. President Donald Trump said he wants this by August 8, a Reuters report said.
In a statement following the meeting, OPEC+ cited a healthy economy and low stocks as reasons behind its decision.
Oil prices have remained elevated even as OPEC+ has raised output, with Brent crude closing near $70 a barrel on Friday, up from a 2025 low of near $58 in April, supported in part by rising seasonal demand.
“Given fairly strong oil prices at around $70, it does give OPEC+ some confidence about market fundamentals,” said Amrita Sen, co-founder of Energy Aspects, adding that the market structure was also indicating tight stocks.
The eight countries are scheduled to meet again on September 7, when they may consider reinstating another layer of output cuts totalling around 1.65 million bpd, two OPEC+ sources said following Sunday’s meeting. Those cuts are currently in place until the end of next year.
Nigeria is not among the eight countries, since it has barely been able to meet its production quota of 1.5 million bpd.
OPEC+ in full includes 10 non-OPEC oil producing countries, most notably Russia and Kazakhstan.
The group, which pumps about half of the world’s oil, had been curtailing production for several years to support oil prices. It reversed course this year in a bid to regain market share, spurred in part by calls from Trump for OPEC to ramp up production.
The eight began raising output in April with a modest hike of 138,000 bpd, followed by larger-than-planned hikes of 411,000 bpd in May, June and July, 548,000 bpd in August and now 547,000 bpd for September..