Kuwait stated that OPEC countries are ready to increase oil production if demand requires it. Kuwaiti Oil Minister Tareq Al-Rumi emphasized that the organization is ready to react to the market, especially after new US sanctions against Russian energy companies, including Rosneft and Lukoil. This is stated in a Bloomberg article, writes UNN.
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Sanctions against Russian energy will lead to price increases. Demand for oil from countries affected by the restrictions will shift to producers in the Persian Gulf and the region as a whole.
Against the backdrop of these events, the price of Brent crude oil rose by more than 5%, to about $66 per barrel, showing the largest one-day increase since the start of the Israeli-Iranian conflict on June 13. Al-Rumi also reminded that Russia, as co-chair of the OPEC+ alliance, influences oil supplies and, together with 22 other countries, restores part of the halted production of 1.66 million barrels per day every month.
Despite this, the market shows signs of surplus: tanker inventories have reached record levels, and the International Energy Agency predicts that global supply will exceed demand by almost 4 million barrels per day in 2026. The next decision on a potential increase in OPEC+ production will be made at a meeting in early December.