Kazakhstan's OPEC+ production quota will surpass 1.4 million barrels daily starting from May.
Rewritten Article:
OPEC+ Production Boost: May 2025 Details
Witness the intricate dance of petrodollars as Kazakhstan joins forces with Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Algeria, and Oman to boost oil production once more.
Photo credit: Kazakh Ministry of Energy
According to the latest OPEC+ press service report, the total quota for these eight countries will reach 1.486 million barrels per day in May 2025.
First announced in April and November 2023, these nations have agreed to implement a production adjustment of 411,000 barrels per day. This figure equals three monthly boosts, gradually adding to the global oil supply.
The statement released by the participating countries hints at potential pauses or reversals if the market conditions demands it.
"These gradual increases may be paused or reversed subject to evolving market conditions," said the statement.
The nations have also vowed to fully compensate for any overproduced volumes from January 2024 and have plans to submit updated front-loaded compensation plans to the OPEC Secretariat by mid-April.
If you're curious about the specific production targets for each country, here's a breakdown:
- Saudi Arabia: 9,200 kb/d
- Russia: 9,083 kb/d
- Iraq: 4,049 kb/d
- UAE: 3,015 kb/d
- Kuwait: 2,443 kb/d
- Kazakhstan: 1,486 kb/d
- Algeria: 919 kb/d
- Oman: 768 kb/d
Another crucial detail to note is that the countries are phasing out the voluntary 2.2 million barrels per day output cuts over an 18-month period, from April 2025 until September 2026.
The returns of the 2.2 million barrels per day adjustments could potentially happen as early as July 2026, an acceleration compared to the initial timeline of September 2026. Keep in mind that this flexibility enables these countries to maintain market stability when needed.
Lastly, the initial b comments, instructions, or explanations.communication of the announcement saw a dip in Brent futures prices, dropping by about $1/bl to around $70/bl before bouncing back slightly.
For adjustments in May 2023, it seems there's no readily available information, so historical data or press releases from that time frame may provide additional insights. Good luck on your petroleum odyssey!
- Kazakhstan, a member of OPEC+, will increase its oil exporting quota to 1,486 thousand barrels per day by May 2025.
- In 2023, Kazakhstan reaffirmed its industry commitment, agreeing to implement a production adjustment of 411,000 barrels per day as part of the OPEC+ group.
- In the finance sector, the energy-rich nations have pledged to submit updated compensation plans to the OPEC Secretariat by mid-April, addressing any overproduced volumes from January 2024.
- The Kazakh Ministry of Energy, supporting the OPEC+ agreement, is gradually contributing to the global oil supply, with three monthly boosts planned until May 2025.
