Opec+ members to boost oil output

Eight countries that belong to the oil cartel known as Opect+ said Sunday that they would boost oil production by 547,000 barrels a day beginning in September, the latest in a series of monthly increases that began in April.

- STANLEY REED

The move, in effect, reverses a programme of 2.2 million barrels a day in output cuts that was put in place in 2023 to tighten supply and prop up the markets.

The announcement from Opec+ was expected and so may have little impact on prices. “We expect a limited negative market reaction,’ analysts at investment bank Jefferies said in a note to clients after the announcement.

After years of pursuing production restraints, the group, led by Saudi Arabia, is taking advantage of what analysts view as a relatively short-term windowin the oil market to boost output.

The United Arab Emirates and other countries have chafed at restraints on production that have opened the way for the United States and other producers outside Opec+ to pump more oil.

In addition, Saudi Arabia and other oil-producing countries appear to have an interest in pleasing President Donald Trump, who wants lower petrol prices for American drivers.