London/Moscow, July 29 (V7N) – A panel of the Organization of the Petroleum Exporting Countries and its allies (OPEC+) on Monday underscored the urgent need for full compliance with existing oil production agreements. The reminder came ahead of a separate meeting scheduled for August 3, where eight OPEC+ member states are expected to decide on increasing oil output for September.
 
The Joint Ministerial Monitoring Committee (JMMC), which includes top energy ministers from core OPEC countries and non-OPEC allies led by Russia, held a brief virtual session. While the JMMC does not hold decision-making power over production levels, it is tasked with monitoring conformity to previously agreed output adjustments and reviewing overall market dynamics. It can recommend a full OPEC+ meeting if needed.
 
In a statement following the meeting, OPEC reiterated "the critical importance of achieving full conformity and compensation." Compensation refers to additional output cuts requested from countries such as Iraq and Kazakhstan to offset earlier instances of overproduction.
 
The JMMC has directed non-compliant countries to submit updated compensation plans by August 18, highlighting the group’s continued efforts to maintain discipline in output levels amid volatile global oil markets.
 
On Friday, OPEC clarified via a post on X (formerly Twitter) that the JMMC is not authorized to make production decisions, reinforcing that such actions must come from full ministerial consensus.
 
OPEC+ collectively accounts for nearly half of global oil output and has implemented coordinated production limits for several years to stabilize the market. However, the group reversed course earlier this year in response to geopolitical pressures and growing calls from U.S. President Donald Trump to expand supply and ease gasoline prices.
 
Since April, eight OPEC+ countries have gradually increased production, with the most recent decision calling for a hike of 548,000 barrels per day (bpd) in August. According to three OPEC+ sources cited by Reuters, the same group is expected to approve an identical increase for September at their upcoming meeting.
 
If confirmed, this would mark the complete unwinding of the group’s latest 2.2 million bpd production cut by September. Additionally, the United Arab Emirates is expected to implement its 300,000 bpd quota increase ahead of schedule.
 
As global energy demand rebounds, OPEC+ continues to navigate the balance between price stability and market share recovery, all while seeking unity among its diverse member states.
 
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