The core members of OPEC+ agreed to increase oil production in August as the group continues a cautious rollback of voluntary supply cuts introduced during the recent period of market weakness.
Seven producers including Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman said after a virtual meeting on Saturday that they would implement a combined production adjustment of 188,000 barrels a day beginning in August 2026.
The increase forms part of the gradual unwinding of additional voluntary production cuts first announced in April 2023 as OPEC+ sought to stabilize crude prices amid slowing global demand and rising non-OPEC supply.
The alliance said the phased return of supply could still be paused or reversed depending on market conditions, underscoring lingering uncertainty around the global economic outlook and oil consumption trends.
“The additional voluntary adjustments announced in April 2023 may be returned in part or in full subject to evolving market conditions and in a gradual manner,” the group said in a statement.
The decision signals growing confidence among major producers that oil markets can absorb additional barrels despite concerns over slower growth in China, elevated interest rates in major economies and expanding output from competitors including the United States.
At the same time, the producers emphasized they would maintain “full flexibility” to “increase, pause or reverse” the production adjustments if market conditions deteriorate.
The latest move continues OPEC+’s delicate balancing act between defending oil prices and protecting market share as global energy demand growth moderates after the post-pandemic recovery surge.
Oil prices have remained relatively resilient in recent months, supported by geopolitical tensions, supply discipline from OPEC+ and seasonal demand, though traders remain cautious about weakening industrial activity in key consuming economies.
The group also reiterated its commitment to enforcing production discipline among members that have exceeded agreed quotas.
Several countries, particularly Iraq and Kazakhstan, have faced repeated pressure within the alliance over overproduction relative to agreed targets.
The seven countries said they remain committed to fully compensating for excess output produced since January 2024 and noted that the latest adjustment would create room for participating members to accelerate compensation efforts.
Compliance with output targets will continue to be monitored by the Joint Ministerial Monitoring Committee, which oversees adherence to the broader Declaration of Cooperation framework.
The producers said they would continue holding monthly meetings to assess oil market conditions, compliance levels and future production strategy, with the next meeting scheduled for Aug. 2.
