OPEC+ to Consider November Production Increase Amid Market Volatility
OPEC+, led by Saudi Arabia and Russia, will decide this Sunday whether to continue its monthly production increase—potentially exceeding the 137,000 barrels per day (b/d) approved for October, reports 24brussels.
The energy ministers from Saudi Arabia, Russia, Iraq, the UAE, Kuwait, Kazakhstan, Algeria, and Oman are set to convene via videoconference to discuss a possible boost in production for November, following the group’s incremental increases initiated in April.
If approved, the production rise could range between 137,000 and 548,000 b/d, which would bring the total output increase since April to over 2.5 million b/d—approximately 2.4% of global demand. This decision would effectively reverse two voluntary cuts implemented in 2023, amounting to 2.2 million b/d primarily by Saudi Arabia and Russia, and 1.65 million b/d across the eight-member coalition.
Analysts indicate that the proposed policy represents a strategic shift for OPEC+, under Saudi Arabian leadership, highlighting a preference for market share expansion at lower prices rather than restricting supply to maintain crude values.
Earlier speculation suggested a potential increase of up to 500,000 b/d, which would be three times more than the increment authorized for October. However, OPEC+ has dismissed these reports as “inaccurate and misleading” on social media.
Meanwhile, benchmark crudes, such as West Texas Intermediate (WTI), have experienced declines, finishing the week at $61.05 per barrel. This downturn reflects market expectations of increased OPEC+ output and concerns regarding a slowing U.S. economy amid a partial federal government shutdown.
As the energy sector watches closely, the outcome of the OPEC+ meeting could have far-reaching implications for oil prices and market stability globally in the upcoming months.