“The eight participating countries will implement an adjustment of the production of 548,000 barrels per day in August 2025“Compared to July, against 411,000 initially planned by analysts, said the organization of oil exporting countries (OPEC) in a press release, evoking”weakness of petroleum stocks“.
The latter increase clearly confirms that “The group is firmly oriented towards a market share strategy“Explains Jorge Leon, from Rystad Energy. An increase”unthinkable a few months ago “ which occurs after three consecutive increases in quotas of 411,000 barrels per day in May, June and July having marked a deep change in the cartel’s strategy.
In order to combat price erosion, the group has been rarefacting the offer since the end of 2022 via several production cuts. It is one of them, of 2.2 million barrels per day granted by Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria and Oman who is currently reintroduced to the market.
In recent months, the cartel seems to have mourned its target around 80 euros. The barrel of Brent, which was exchanged around the $ 75 at the start of the year, is now displayed between 65 and 70 dollars.
By opening the valves, Saudi Arabia, which is the country whose voice has the most within the cartel, would in fact put pressure on the members who go beyond their production objectives by basing profits and limiting the capacity of certain members to produce more than their quotas.
