OPEC+ Expected to Maintain Oil Production Targets for November

Seven member countries of OPEC+—the Organization of the Petroleum Exporting Countries and its allies—have reportedly reached an in-principle agreement to maintain their oil production targets for next month at current levels.

According to Reuters and Bloomberg on the 4th (local time), seven countries including Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman held a video conference that day to discuss production volume targets for the upcoming month.

Citing three sources familiar with the matter, Reuters reported that OPEC+ has agreed in principle to keep its November oil production targets unchanged.

Bloomberg also projected that next month's oil production targets would be maintained.

Following years of production cuts, OPEC+ has raised its output targets for most of this year.

However, due to the conflict in the Middle East, most of the increased quotas have not translated into actual production, amounting essentially to paper increases.

In particular, Gulf OPEC+ producers are pumping oil at levels significantly below their production targets as export disruptions continue amid the war between the United States, Israel, and Iran.

Reuters reported that crude oil exports from these countries have hovered around 60% to 80% of normal levels in recent months.

According to OPEC data, the core seven OPEC+ nations produced 25 million barrels per day in August.

While this is an increase of 630,000 barrels per day compared to July, it remains about 5 million barrels per day lower than the pre-war levels seen in February.

OPEC+'s review of production capacities to determine next year's output quotas has also been delayed.

This is because the war has clouded the outlook for future production potential, leading sources to state that substantive changes in output are unlikely to happen before 2027.

(Photo: AP, Yonhap News)
※ Please note: This article was translated by AI and may contain errors.