OPEC+ countries agree to suspend oil production increase. Want to protect prices

Members of the Organization of the Petroleum Exporting Countries (OPEC+) agreed on November 2 to cap oil production increases in the first quarter of 2026. The countries are softening their plans to regain market share because they fear an oversupply.

Reuters writes about this.

For years, OPEC+ has been cutting oil production to keep prices high and stable on the market. But this year, it took a different course, and since April, countries have started increasing production to regain their market share — to avoid disruptions in supply via Russia.

Since April, the organization has raised production targets by about 2.9 million barrels per day – or about 2.7% of global supply – but has slowed the pace since October amid forecasts of an imminent supply glut.

New Western sanctions against OPEC+ member Russia are complicating this year’s strategy. It may be harder for Moscow to continue to increase production after the US and UK imposed new restrictions on major Russian oil giants Rosneft and Lukoil.

The eight OPEC+ members who participated in the groupʼs monthly meeting — Saudi Arabia, Russia, the United Arab Emirates, Iraq, Kuwait, Oman, Kazakhstan and Algeria — agreed to increase their production targets for December by 137 000 barrels per day.

“After December, due to seasonal factors, eight countries also decided to suspend production increases in January, February and March 2026,” the group said in a statement.

Oil prices fell to a five-month low of around $60 a barrel on October 20 on concerns about a build-up of surpluses, but have since recovered to around $65 a barrel on new sanctions against Russia and optimism about US talks with trading partners.

“By pausing the increase, OPEC+ is protecting prices, demonstrating unity and buying time to see how sanctions will affect Russian barrels,” said analyst Jorge Leon at Rystad.

OPEC+ has been cutting production for several years until April 2025. The cuts peaked in March, totaling 5.85 million barrels per day.

The process consisted of three elements: a voluntary cut of 2.2 million barrels per day, 1.65 million barrels per day by eight member states, and a further 2 million barrels per day by the group as a whole.

The group is gradually phasing out the voluntary cuts, while the final element of the group-wide cuts will be in place until the end of 2026. The eight OPEC+ members will meet again on November 30, when the organization will hold a full meeting.

• OPEC+ is an informal organization that unites countries that are members of the Organization of the Petroleum Exporting Countries (OPEC), where Saudi Arabia plays a leading role, and a number of non-OPEC states, including Russia.

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