Survey: OPEC oil production fails again to achieve the target in June

A Reuters survey showed on Friday that OPEC did not commit in June to the oil production increase it pledged under an agreement with allies, as involuntary declines in Libya and Nigeria erased the impact of supply increases by Saudi Arabia and other major producers.

The survey found that the Organization of the Petroleum Exporting Countries (OPEC) pumped 28.52 million barrels per day in June, down 100,000 barrels per day from May’s revised total. OPEC had planned to increase June production by 275,000 barrels per day.

OPEC +, which includes OPEC countries and other allies from non-OPEC producing countries led by Russia, has begun to reverse a production cut that was implemented in 2020 due to the pandemic, but many countries are facing difficulties in implementing this. And OPEC +, at a meeting held on Thursday, stuck to the previously scheduled increase in production in August.

The agreement between the countries called for an increase of 432,000 barrels in June from all OPEC + countries. The share of the ten OPEC countries covered by the agreement, of that increase is approximately 275,000 barrels per day. But the survey showed an increase in supplies from the ten countries by only 20 thousand barrels per day.