56,000 bpd short: Iraq underproduces OPEC+ quota in June
Iraq produced below its OPEC+ quota in June, cutting output by 56,000 barrels per day, according to S&P Global Commodity Insights.
The report showed that Iraq's oil production stood at 4.03 million barrels per day (bpd) last month, well under its official quota of 4.86 million bpd set under the OPEC+ agreement.
The shortfall in output extended beyond Iraq. The United Arab Emirates, Kuwait, and Algeria also produced below their respective targets. In contrast, Saudi Arabia and Nigeria exceeded their assigned levels, highlighting uneven compliance across the group.
OPEC recently approved a collective increase of 548,000 bpd in production quotas beginning in August, citing improved global economic indicators and what it described as strong underlying market fundamentals.
Despite the revised allocations, oil prices have remained around $70 per barrel. Several producers — including Iraq, one of the world's largest crude exporters — have yet to raise output in line with their updated quotas, particularly those with voluntary cuts still in place.
Analysts expect a potential supply surplus toward the end of 2025, as the group gradually unwinds 2.2 million bpd in voluntary reductions.
The OPEC+ alliance is scheduled to meet again on August 3 to review production plans for September. The group may opt to maintain current levels, adjust targets, or expand output, depending on market conditions.
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