Seven OPEC+ Nations to Boost Oil Output Amidst Strait of Hormuz Crisis
A coordinated move aimed at market stability has been announced by seven key OPEC+ oil-producing countries, including Saudi Arabia and Russia.
The agreement to increase production by 188,000 barrels per day starting in June is largely symbolic, as Iran's blockade of the Strait of Hormuz has removed millions of barrels per day from the global market.
The commitment was made during a virtual meeting held on Sunday. In a joint statement, the nations—which also include Algeria, Iraq, Kazakhstan, Kuwait, and Oman—stated the move is part of an effort to maintain "market stability."
The Strait of Hormuz, through which approximately one-fifth of global oil and natural gas trade typically passes, remains blocked. This has halted much of the oil shipped from Gulf producers, rendering the production increase largely symbolic in the face of such a massive supply disruption.
This decision follows the United Arab Emirates' withdrawal from the OPEC oil cartel. The alliance—which produces about 40% of the world's crude oil—significantly influences global energy prices. While Iran is a member of OPEC, Russia coordinates through the OPEC+ grouping but is not a formal member.
The seven countries have agreed to hold monthly meetings to review market conditions, conformity, and compensation. They plan to meet again on June 7.