Iraq Oil Production Falls in October, Meeting OPEC+ Agreement Requirements
Recent data from a Reuters survey indicates that oil production in Iraq has dropped to just under 4 million barrels per day in October. This decrease aligns with the OPEC+ agreement’s stipulations, even without factoring in the promised compensatory cuts.
Total OPEC Oil Production Trends
Notably, the survey reveals that production in the nine countries bound by quotas (OPEC-9) has reached the agreed-upon level for the first time this year. On the other hand, total OPEC oil production has increased by 190,000 barrels per day. This rise is attributed to Libya’s production returning to normal following disruptions in the previous months.
Insights from the Bloomberg Survey
A Bloomberg survey echoes similar findings, with total OPEC production on the rise, while production from the OPEC-9 countries has declined. However, it is worth noting that Iraq’s production in this survey remains 120,000 barrels per day above the agreed level.
Analysis and Implications for Investors
- Investors should monitor Iraq’s oil production closely as it plays a significant role in meeting OPEC+ agreements and influencing global oil prices.
- The fluctuation in total OPEC oil production underscores the delicate balance between supply and demand in the oil market, impacting investment decisions.
- Libya’s return to normal production levels highlights the importance of geopolitical factors in oil production and market dynamics.