By Udeme Akpan
The Organisation of Petroleum Exporting Countries and its allies, also known as OPEC+, has approved the fourth oil output increase since the Hormuz closure crisis.
The decision followed renewed commitments by Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman to support market stability.
In a statement issued at the weekend, OPEC stated: “The seven OPEC+ countries, which previously announced additional voluntary adjustments in April and November 2023, namely Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman, met virtually on June 7, 2026, to review global market conditions and outlook.
“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.
“This adjustment will be implemented in July 2026. The additional voluntary adjustments announced in April 2023 may be returned in part or in full, subject to evolving market conditions and in a gradual manner.
“The countries will continue to closely monitor and assess market conditions and, in their continuous efforts to support market stability, reaffirmed the importance of adopting a cautious approach and retaining full flexibility to increase, pause or reverse the phase-out of the voluntary production adjustments, including reversing the previously implemented voluntary adjustments announced in November 2023.
“The seven OPEC+ countries also noted that this measure will provide an opportunity for the participating countries to accelerate their compensation.
“The seven countries reiterated their collective commitment to achieving full conformity with the Declaration of Cooperation, including the voluntary production adjustments, which will be monitored by the Joint Ministerial Monitoring Committee (JMMC).
“They also confirmed their intention to fully compensate for any overproduced volumes since January 2024. The compensation period will be extended until the end of December 2026.”
It added: “The seven OPEC+ countries will hold monthly meetings to review market conditions, conformity and compensation. The seven countries will meet on July 5, 2026.”
