OPEC+ holds November output steady as Brent stays above $100
By Aboki Forex —
OPEC+ agreed on Sunday to keep oil production targets unchanged for November, with no further policy adjustments expected until next year. Seven core members of the group, which includes the Organization of the Petroleum Exporting Countries and allies such as Russia, made the decision at a brief online meeting.
The core members are Saudi Arabia, Russia, Iraq, Kuwait, Algeria, Kazakhstan and Oman. The group has been pumping well below its output targets as export disruptions linked to the U.S.-Israeli war on Iran continue. Exports have been fluctuating at 60% to 80% of normal levels in recent months.
Prices slip but remain high
Oil prices dropped on Friday after European leaders agreed to U.S. President Donald Trump’s request to release diesel reserves. Crude oil prices settled lower after the Group of Seven nations announced the release of diesel and crude stocks to ease surging fuel prices.
International benchmark Brent crude futures slipped 6 cents to close at $102.25 per barrel. U.S. West Texas Intermediate crude slid $1.76 to $91.11 a barrel.
The G7 will release 100 million barrels of reserves over the next four months “with a frontloaded substantial diesel release within the first 20 days,” the group’s leaders said in a joint statement. The G7 includes France, Canada, Germany, Italy, Japan, the United Kingdom and the U.S.
Despite the G7 announcement, Brent crude remains above $100 a barrel, up from about $73 before the Iran war started in late February.
Output stays below quota
“The OPEC+ group of seven kept their production ceilings unchanged, in line with market expectations. That said, despite rising flows through the Strait of Hormuz, their output levels remain well below quota,” said UBS analyst Giovanni Staunovo. “Consequently, the oil market remains tight.”
The Iran war has also delayed the group’s output capacity review, which is crucial to determine members’ 2027 output quotas. It has thrown estimates of future production potential into uncertainty, industry sources said last week.
OPEC+ has been raising output targets for much of 2026 after years of production cuts. But most of the increases stayed on paper because of the Middle East conflict.
The seven core OPEC+ members pumped 25 million barrels per day in August, up 630,000 bpd from July. Yet they were still roughly 5 million bpd below prewar levels in February, OPEC data shows. The seven will meet next on Nov. 1.
OPEC+ still has about 2 million bpd of output cuts in place covering most members. It needs the result of the capacity review to decide how to distribute increases, and any changes to output are unlikely before 2027, sources have said.
A separate OPEC+ ministerial group, the Joint Ministerial Monitoring Committee, which does not set policy, also met on Sunday to review the market.
What it means for Nigeria
Brent above $100 keeps global crude prices elevated even after the G7 reserve release. For Nigeria, that supports oil earnings but also keeps imported fuel costs under pressure. The steady OPEC+ stance means no immediate relief from higher crude prices for consumers and businesses.