OPEC+ to Keep its Crude Oil Production Steady in First Quarter

OPEC+ will stick with plans to pause its collective crude oil production increases during the first quarter of 2026, amid growing signs of a surplus in global oil markets. “Key members led by Saudi Arabia confirmed the three-month supply pause, first announced at the start of November, during a video conference on Sunday following a series of meetings among the wider alliance. In a statement, the group reiterated that the decision reflected its expectations for weaker seasonal market conditions. OPEC+ members also agreed to keep group-wide quotas steady next year and approved a mechanism for an upcoming review of individual oil production capacities, the group said separately. The review is expected to help set output quotas in 2027,” said a Bloomberg report. While the pause on output hikes indicates some caution by the Organization of the Petroleum Exporting Countries and its partners after they rapidly revived oil production earlier this year, it still leaves world markets on track for a significant excess in early 2026, which is likely to put further pressure on prices,” said Bloomberg. Oil futures prices have declined around 15% so far this year. The International Energy Agency in Paris predicts a record glut in 2026, while Goldman Sachs Group Inc. and JPMorgan Chase & Co. see crude oil futures prices heading lower.
Read more from Pro Farmer.