OPEC+ set to hold November oil quotas steady as Middle East conflict hits output

 Major OPEC+ producers are expected to keep oil production quotas unchanged in November as the Middle East conflict continues to restrict output from several members, Bloomberg reported.

A group of seven producers led by Saudi Arabia and Russia has reached an agreement in principle to maintain existing targets next month, delegates said ahead of a video conference Sunday where the decision is expected to be finalised.

The move would follow the alliance’s existing production roadmap after OPEC+ previously signalled that further quota increases would be paused through the end of 2026.

Oil futures have been moving back towards $100 a barrel amid disruptions caused by the Iran war, with diesel prices also reaching records at the pump. The supply pressures prompted Group of Seven countries to announce the release of up to 100 million barrels of emergency oil and diesel stocks.

OPEC+ agreed to a series of modest quota increases during the six months through August, theoretically reversing production cuts introduced in 2023.

The increases have had limited impact on actual global supply since the war has reduced production across the Persian Gulf. Output from major OPEC members including Saudi Arabia, Iraq and Kuwait remains significantly below levels recorded before the conflict.

That disruption has also reduced the immediate significance of changes to the group’s formal production targets. Gulf producers could have greater scope to increase actual output if regional conditions stabilise.