Quarterly earnings reports from companies like ExxonMobil, Shell, Chevron, and BP

OPEC+ Delays Oil Output Hike by Three Months to April 2025, Extends 3.65 Million Bpd Cuts Until 2026

Dec 5, 2024, 12:18 PM

OPEC+ has agreed to delay its planned oil output hike by three months, pushing the increase to April 2025, according to delegates and sources cited in multiple reports. The group will maintain current production levels for the first quarter and extend the collective output cuts of 3.65 million barrels per day (bpd) until the end of 2026. The unwinding of the cuts, totaling 2.2 million bpd, will be gradual, starting from April 2025 and continuing until September 2026. Additionally, the compensation period for overproducing countries has been extended until June 2026. Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman held a virtual meeting on the sidelines of the 38th OPEC and Non-OPEC Ministerial Meeting. These countries decided to extend their additional voluntary adjustments of 1.65 million bpd, announced in April 2023, until the end of December 2026. The cuts of 2.2 million bpd announced in November 2023 will also be extended until the end of March 2025. The United Arab Emirates' required production has been increased by 300,000 bpd, phased in gradually starting April 2025 until the end of September 2026.