OPEC+ decided to maintain its production quota for December 2026 in its recent meeting. The seven main countries of this coalition, including Saudi Arabia, Iraq, Kuwait, Oman, Algeria, Russia, and Kazakhstan, concluded that the production level set for September 2026 should continue in December 2026 after reviewing global market conditions.
Details of OPEC+ Decision-Making
This group ended the process of unwinding the voluntary production cut of 1.65 million barrels per day that began in 2023 in September. However, the production cut of 2 million barrels per day agreed upon in 2022 will remain in place until the end of this calendar year. OPEC+ is also reviewing the production capacity of its members to determine the production quotas for 2027.
Impact of War on Oil Production
Since the onset of the aggressive war by the United States and the Israeli regime against Iran on February 28 (March 9, 1404), the Strait of Hormuz, through which about one-fifth of the world's crude oil and liquefied natural gas passes, has effectively been closed. This war has now entered its ninth month, and there is still no clear outlook for its end. Fears of a resumption of Washington's attacks after the U.S. midterm elections are increasing, while Donald Trump, the President of the United States, has claimed that the war "will end soon."
The total production targets of these seven countries for December are about 31 million barrels per day; a figure that has not changed compared to September, October, and November. Saudi Arabia holds the largest production quota at 10 million and 478 thousand barrels per day. Following that, Russia and Iraq stand at 9 million and 949 thousand barrels and 4 million and 431 thousand barrels, respectively. Most members of this coalition are producing less oil than their designated quota due to the ongoing war in the Middle East.
OPEC+ once again emphasized its collective commitment to fully implement the "Declaration of Cooperation" and producers will continue to hold monthly meetings to review market conditions. The next meeting is scheduled for November 29 (Azar 8).
