MOSCOW, August 31 – PRIME. OPEC oil production in August rose to the highest since the start of the pandemic. Oil production in Libya has recovered from the turmoil, and the Gulf countries have increased production as part of the OPEC+ deal. This is evidenced by the results of a survey conducted by Reuters.
Oil production by OPEC countries in August increased by 690,000 barrels per day compared to July and amounted to 29.58 million barrels per day, the survey results show. OPEC output hit the highest since April 2020.
The OPEC+ alliance has increased production monthly, leveling production restrictions imposed during the coronavirus pandemic. Nevertheless, oil production in many countries of the alliance has been lagging behind quotas for several months now.
The cartel and its allies agreed to increase production by 648,000 barrels a day in August, completely lifting the previously existing restrictions. The ten OPEC countries participating in the deal were to increase oil production by 413,000 barrels a day.
However, many producers have run out of spare production capacity due to a lack of investment, and 10 OPEC countries rose 300,000 barrels a day in August, falling short of agreed levels.
Oil production by 10 OPEC countries is 1.4 million barrels per day behind the August target. In July, production was below quotas by 1.3 million bpd.
The OPEC+ meeting is scheduled to take place on Monday, and sources say that the production cuts Saudi Arabia spoke about last week could be implemented if Iranian oil returns to the world market after the nuclear deal is restored.