Latest News

Sources say that OPEC+ is set to increase oil production again on Saturday.

Sources from the producer group said that eight OPEC+ nations are likely to increase their oil production for August during a Saturday meeting, in an effort to regain market shares.

According to anonymous sources, the group that includes Saudi Arabia and Russia is expected to agree on an increase of 411,000 barrels a day in August.

OPEC+, if they had agreed, would have increased their supply targets by 1.78 million bpd or 1.5% of the global oil consumption. The actual increases have been lower, as some members have delivered cuts to compensate past overproduction.

Sources said that the group had decided on Friday to move the date of the meeting forward by one-day. One of the sources said that it wasn't clear yet if 411,000 barrels per day would be the final deal.

OPEC+ changed its policy dramatically this year after years of production cuts totaling more than 5,000,000 bpd. The eight members began to reverse their most recent cut of 2.2m bpd in April, and then accelerated their increases in May, July and June, despite crude prices being impacted by the additional supply.

The acceleration was a result of some members, like Kazakhstan, producing way more than their target, which angered other members who were sticking to the agreed-upon cuts.

Kazakh production returned to growth and reached a new high last month, a source with knowledge of the data said this week. The field, led by Chevron, was ramping up.

OPEC+, a grouping of the Organization of the Petroleum Exporting Countries (OPEC) and its allies, led by Russia is seeking to increase its market share in the face of increasing supplies from other producers, such as the United States.

About half of all oil produced in the world is produced by this group. In their July decision, the OPEC+8 have increased production by 1.37 million bpd. It is 62% of their production cut of 2,2 million bpd. Reporting by Ahmad Ghaddar, Olesya Astakhova. (Editing by David Goodman Alex Lawler Mark Potter and Mark Potter.

(source: Reuters)