Kazakhstan adjusts oil production levels in sync with OPEC's stipulations
In a recent virtual meeting, eight OPEC+ countries - Saudi Arabia, Russia, Iraq, UAE, Kuwait, Kazakhstan, Algeria, and Oman - have decided to increase oil production by 547,000 barrels per day (bpd), effective from September 2025. This decision comes after the group agreed in December 2024 to gradually phase out 2.2 million bpd of voluntary production cuts, starting from April 2025.
The adjustment is in response to the stable market outlook and favorable fundamentals reflected in low oil inventories. The eight countries reaffirmed their commitment to market stability and their collective responsibility to support oil market stability.
This production increase represents the fourth incremental monthly adjustment moving towards restoring production levels. The group emphasized flexibility, stating that the phase-out could be paused or reversed depending on future market developments to ensure stability.
The OPEC+ countries will continue to hold monthly meetings to discuss the state and prospects of the global oil market. The next meeting is scheduled for September 7, 2025.
The adjustment allows the countries to accelerate compensation for any earlier overproduction since January 2024. The OPEC+ countries intend to fully compensate for any overproduced volume from this period, reflecting their ongoing commitment to the Declaration of Cooperation and market monitoring by the Joint Ministerial Monitoring Committee (JMMC).
The increase in production is expected to potentially ease upward pressure on oil prices due to higher supply while maintaining market stability through careful monitoring and the possibility of reversing cuts if conditions worsen. Oil producers see themselves as a "central bank" for the oil market, managing output to balance supply and demand amid economic volatility.
The decision to adjust production was made during the meeting reported by Liter.kz. The adjustment will be 547,000 bpd in September 2025 compared to the August 2025 level. These adjustments were agreed upon by the Joint Technical Committee (JTC) at its 53rd meeting on April 3, 2024.
The data for this report comes from OPEC's press service. The OPEC+ countries reaffirmed their commitment to fully complying with the Declaration of Cooperation, including additional voluntary production adjustments. This flexibility allows the OPEC+ group to continue supporting oil market stability.
[1] Gulf Business: OPEC countries to reduce oil output by 547,000 bpd in September. (n.d.). Retrieved from https://gulfbusiness.com/opec-countries-to-reduce-oil-output-by-547000-bpd-in-september/ [2] Intelli News: OPEC nations to increase oil production by 547,000 barrels per day in September. (2025, September 01). Retrieved from https://www.intellinews.com/opec-nations-to-increase-oil-production-by-547-000-barrels-per-day-in-september-394298/ [3] Arab News: OPEC+ to boost oil production by 547,000 barrels per day in September. (2025, September 01). Retrieved from https://www.arabnews.com/node/2610492/business-economy [4] Arab News: OPEC+ countries to reduce oil output by 547,000 bpd in September. (n.d.). Retrieved from https://www.arabnews.com/node/2610492/business-economy [5] ABC News: OPEC countries to boost oil production by 547,000 barrels per day in September. (2025, September 01). Retrieved from https://abcnews.go.com/Business/wireStory/opec-countries-boost-oil-production-547000-barrels-day-124328295
The OPEC+ countries, in their efforts to balance the oil market, have decided to boost oil production by 547,000 barrels per day, aligning with their role as a "central bank" for the oil industry. This move, aimed at maintaining stability, might affect the energy sector's finance dynamics due to potential changes in oil prices.
