MOSCOW, May 4 — Eight Opec+ countries that adhere to voluntary oil production cuts, including Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman, will increase oil production by an additional 411,000 barrels per day in June from the level in May, according to an official communique by Opec released yesterday.
“In view of the current healthy market fundamentals, as reflected in the low oil inventories, and in accordance with the decision agreed upon on December 5, 2024, to start a gradual and flexible return of the 2.2 million barrels per day voluntary adjustments from April 1, 2025, the eight participating countries will implement a production adjustment of 411,000 barrels per day in June 2025 from the May 2025 required production level,” the statement read.
The countries will discuss the volume of their July oil production at a meeting on June 1, the organisation noted, reported Sputnik/RIA Novosti.
“The eight Opec+ countries will hold monthly meetings to review market conditions, conformity, and compensation. The eight countries will meet on June 1, 2025, to decide on July production levels,” the organisation said.
Meanwhile, Russian Deputy Prime Minister Alexander Novak yesterday called on Opec+ to comply with production cuts and a compensation plan for earlier overproduction.
“Once again, I would like to appeal to all countries to make and be able to ensure their equal contribution to achieving a balance between supply and demand. Here it is important to respect production levels and ensure a schedule for compensating for the shortfall in voluntary cuts. I call for this once again,” Novak told Russia’s Rossiya 24 broadcaster.
At the same time, the economic growth in the world amid trade wars will decrease in 2025, affecting the demand for oil, Novak added.
“We are seeing trade wars between countries and a decrease in economic growth. And according to the forecasts of many analysts, the world’s economic growth this year will be lower than the initial forecasts, which will also affect demand,” he said.
— Bernama
