Seven OPEC Plus member countries have decided to increase crude oil production by about 188,000 barrels per day from September this year. Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman formally announced the decision in a joint statement. They said the higher production quota forms part of a coordinated commitment to maintain stability in the global energy market.

The September increase will fully reverse a 2023 agreement to cut supply by 1.65 million barrels per day. The United Arab Emirates had also participated in that supply-cutting decision, but left the OPEC alliance in May this year.

Jorge Leon, a senior analyst at Rystad Energy, said OPEC Plus had ended its voluntary supply cuts and now faced the challenge of managing a potential oil surplus if export flows normalize. He cautioned that immediate market effects may be limited because shipping through the strategically important Strait of Hormuz still faces restrictions and disruptions. Leon said the decision's full impact on the market would be felt if overall export movement returns to normal.