LONDON: Opec+ may raise oil quotas by 188,000 barrels per day for August when seven producers meet online on Sunday, AFP reported.
Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman may continue unwinding earlier output cuts as Gulf exports recover.
Giovanni Staunovo, a commodity analyst at UBS, told AFP the group would likely continue to reverse cuts at the same pace as in previous months. He said actual production remained below targets.
OPEC data showed that combined production by Saudi Arabia, Iraq and Kuwait fell by about 6 million barrels per day.
Between the first quarter of 2026 and May, after the conflict disrupted exports through the Strait of Hormuz.
Tehran and Washington signed a memorandum of understanding on June 17 to remove obstacles to maritime traffic through the strait during talks.
Bloomberg quoted a US official as saying oil supplies through the shipping lane may already have exceeded 10 million barrels per day.
Ole Hansen, an analyst at Saxo Bank, told AFP that shut-in production takes time to restart. He said July could show improvement, while August may bring a faster pickup if shipping continues to normalise.
Jorge Leon, an analyst at Rystad Energy, told AFP that markets expected a global oil surplus next year.
Read: OPEC+ Oil Supply To Rise By 188,000 Barrels In July
Analysts said rebuilding inventories tapped during the conflict could absorb flows at first, before producers face renewed price pressure.
Iraq has asked OPEC+ to raise its production quota to offset wartime losses, the Iraqi Oil Ministry said in late June. Hansen said Iraq’s request may be included in a 2027 capacity review of member baselines.