Eight key OPEC+ countries Saudi Arabia, Russia, Iraq, the UAE, Kuwait, Kazakhstan, Algeria, and Oman have agreed to gradually increase oil production starting in May 2025. This decision comes after a virtual meeting held on April 3, where the countries reviewed the oil market’s health and future outlook.
These nations had previously made voluntary production cuts in April and November 2023. However, with market conditions now improving, they will begin reversing these cuts slowly. The group will raise oil production by 411,000 barrels per day in May 2025. This move reflects three months’ worth of planned increases combined into one.
The decision aligns with an earlier agreement made in December 2024 and reaffirmed in March 2025, aiming to return 2.2 million barrels per day to the market in a gradual and flexible manner. The phased increase allows room to pause or reverse production if market conditions worsen. This flexibility ensures ongoing support for oil market balance.
OPEC+ countries also committed to correcting any overproduction since January 2024. They must submit updated compensation plans to the OPEC Secretariat by April 15. These plans will be published publicly for transparency.
The group emphasized their continued cooperation and commitment to maintaining market stability. To manage this, the eight countries will hold monthly meetings to review oil market data, production levels, and compliance with agreed limits.
Their next meeting is scheduled for May 5, when they will decide on oil production levels for June. The countries believe that steady and flexible production changes will strengthen confidence in the global oil market and support both producers and consumers.
