The Organisation of Petroleum Exporting Countries (OPEC) and its allies, OPEC+, have agreed to increase oil output by 188,000 barrels per day in June.
The development was conveyed in a statement by the group on Sunday, as it pushes on with production in the first meeting since the loss of its key member, the United Arab Emirates (UAE). The figure excluded the UAE’s share of output, which officially departed OPEC on May 1.
June’s production is slightly less than May’s output hike of 206,000 bpd.
The seven countries to benefit from the production hike included: Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria, and Oman. Nigeria, which has a quota of 1.5 million bpd, has for a long time been unable to meet its allocation.
“In their collective commitment to support oil market stability, the seven participating countries decided to implement a production adjustment of 188,000 barrels per day from the additional voluntary adjustments announced in April 2023,” OPEC said in its statement.
Global oil supply has been choked since the Iran war began on February 28, as the Strait of Hormuz – a vital shipping route for global oil and gas supplies – has remained effectively closed.
Oil prices fell at the weekend after Iran sent an updated peace proposal to mediators in Pakistan, raising hopes again that a settlement with the U.S. is still possible. The seven OPEC+ members will meet again on June 7, the statement said.
U.S. crude oil futures fell 3 per cent to close at $101.94 per barrel, while the international benchmark, Brent crude, lost nearly 2 per cent to settle at $108.17. Both are nearly 78 per cent higher since the start of 2026.
U.S. President Donald Trump said on Saturday he had been told about the concept of a deal with Iran, but was waiting for the exact wording, while warning there was still the possibility of restarting strikes on the country if Tehran misbehaves.
Reuters quoted a senior Iranian official as saying on Saturday that an Iranian proposal so far rejected by Trump would open shipping in the Strait of Hormuz and end the U.S. blockade of Iran while leaving talks on Iran’s nuclear program for later.
Concerns around production were amplified further on Tuesday with news of the shock departure of the UAE, the cartel’s third-largest producer. The Gulf state concluded that exiting the group was in its national interest following a comprehensive review of its production policy and capacity, the Energy Ministry said in a written statement.
The UAE had played an influential role in OPEC’s decisions over nearly six decades and was the group’s third-largest oil producer in February, behind Saudi Arabia and Iraq.
