Oil, OPEC+ steps up production: 137,000 barrels per day increase in November

Saudi Arabia, Russia, and six other OPEC+ members agreed on Sunday to increase their production quotas by 137,000 barrels per day in November, continuing their push for greater market share. "Given the stable global economic outlook and the current strong market fundamentals, reflecting low oil inventories, the eight participating countries have agreed to implement a production adjustment of 137,000 barrels per day" compared to October levels, the group said in a statement after an online meeting . The increase fell short of many analysts' expectations, with the cartel seeking to avoid putting pressure on prices due to weak demand.

According to Radiocor, in just a few months, Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Oman, and Algeria have already increased their quotas by over 2.5 million barrels per day (mb/d). OPEC+ has changed its strategy since April and is now favoring market share gains over competition from other countries, with "production from the United States, Brazil, Canada, Guyana, and Argentina reaching or near historic highs," the International Energy Agency (IEA) stated in its latest monthly report on oil. This situation contrasts sharply with "basically unchanged" oil demand, according to the IEA, which forecasts growth of around 700,000 b/d in 2025 and 2026. OPEC itself forecasts global oil demand to increase by 1.3 mb/d in 2025 and 1.4 mb/d in 2026.