Oil prices began to rise on Monday after OPEC+ announced it will increase oil production by 548,000 barrels per day (BPD) in August, the group said in a statement on Saturday.
OPEC+ plans to boost oil production by more than 500,000 BPD in August
Andrey Rudakov / Bloomberg via Getty Images
Oil prices began to rise on Monday after OPEC+ announced it will increase oil production by 548,000 barrels per day (BPD) in August, the group said in a statement on Saturday.
Prices rose on Brent Crude Oil above $69 a barrel after opening at $67.78 while West Texas Intermediate crude rose from an opening price of $65.70 a barrel to above $67 on Monday. However, some experts say they expect prices to fall later this year as production increases.
The production hike will come from eight OPEC+ countries: Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman. Saudi Arabia will lead the charge of production increase followed by Russia.
The group attributed its production hike to “a steady global economic outlook and current healthy market fundamentals,” the statement said.
In April, OPEC+ — the Organization of the Petroleum Exporting Countries and its allies including Russia — began raising production levels by 138,000 to regain market share after slowing production for the last three years, Reuters reported.
In the three months prior to August, OPEC+ agreed to a production increase of 411,000 BPD.
In December 2024, OPEC+ announced its decision to begin its “gradual and flexible” return to producing 2.2 million BPD starting on April 1, 2025.
OPEC+ will meet on August 3 to decide on production levels for September, according to the statement.
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