ERBIL, Kurdistan Region - The OPEC+ met on Sunday to review global market conditions and outlook, deciding to implement a production increase of 188,000 barrels per day (kbd) amid a global energy shortage.
The meeting, which included Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman, concluded with an agreement to raise output by 188,000 barrels per day starting in June, divided among the seven countries, according to a joint statement.
“The countries will continue to closely monitor and assess market conditions” and in their efforts to maintain market stability they affirmed “the importance of adopting a cautious approach and retaining full flexibility,” read the statement.
OPEC is a permanent intergovernmental organization of 12 oil-exporting nations that coordinates petroleum policies to stabilize markets, while OPEC+ is a broader alliance that includes the original members plus 10 non-OPEC countries, most notably Russia, to exert greater control over global oil supply.
The decision comes against the backdrop of fragile maritime security in the region, marked by escalating tensions in the Strait of Hormuz, which handles around 20 percent of global seaborne oil trade.
The increase outlines allocations for each participating country, placing Saudi Arabia and Russia first with 62 kbd each, followed by Iraq with 26 kbd, Kuwait with 16 kbd, Kazakhstan with 10 kbd, and Algeria and Oman with 6 and 5 kbd respectively.
OPEC+ added that the seven countries will hold monthly meetings to review market conditions, conformity, and compensation, and will meet again on June 7.
This follows the United Arab Emirates’s recent decision to withdraw from OPEC. The UAE said the move followed “a comprehensive review of the UAE’s production policy and its current and future capacity,” and is grounded in “national interest and a commitment to effectively meeting the market’s pressing needs.”
The United States and Israel launched a wide-scale air campaign against Iran on February 28, targeting more than 17,000 sites across the country over six weeks of hostilities.
In response, Tehran carried out drone and missile strikes across the Middle East, targeting US assets as well as launching retaliatory attacks against Israel.
The US and Iran later agreed to a Pakistan-mediated ceasefire on April 8, halting the fighting to allow space for talks. While the first round of discussions ended without a final agreement on April 11, Islamabad has in recent weeks stepped up efforts to facilitate a second round of talks between American and Iranian negotiators, though these efforts have yet to yield tangible results.
Further complicating the situation are tit-for-tat maritime restrictions in the Strait of Hormuz, where Iran has tightened controls on shipping, while the US has enforced a naval blockade targeting vessels linked to Iranian ports.
The International Energy Agency announced on Wednesday that the conflict in the Middle East has triggered an “unprecedented disruption to global fuel markets,” tightening supply and placing “significant pressure” on consumers and economies worldwide.
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