OPEC crude oil production remains steady for third month due to Iraq, UAE non-compliance

Shafaq News/ OPEC's crude oil production held steady for the third consecutive month as Iraq and the UAE failed to fully implement the agreed-upon cuts, according to a Bloomberg survey.

The Organization of the Petroleum Exporting Countries produced an average of 26.98 million barrels per day in June, marking a decrease of 80,000 barrels per day from the previous month. This slight reduction was attributed to minor cuts in production from Iraq and Nigeria.

The survey indicated that Iraq and the UAE did not fully comply with the cuts agreed upon at the beginning of the year with other OPEC members. Additionally, Baghdad was unable to implement the extra production cut it had pledged to compensate for previous overproduction levels.

To push crude oil prices higher, the OPEC alliance may need to enforce the committed cuts fully. However, efforts to enhance compliance have shown limited results.

In June, Iraq reduced its output by 30,000 barrels per day to 4.25 million barrels per day. This reduction in exports brought the country closer to its assigned quota, but its production still exceeded the quota by approximately 250,000 barrels per day, even without considering additional "compensatory cuts."