OPEC Oil Output Rises in August as Iran Hits 2018 High: Report


TEHRAN (Tasnim) – OPEC oil output rose in August as Iranian supply rose to its highest since 2018, a Reuters survey found on Thursday, despite ongoing cuts by Saudi Arabia and other members of the wider OPEC+ alliance to support the market.

The Organization of the Petroleum Exporting Countries has pumped 27.56 million barrels per day (bpd) this month, up 220,000 bpd from July. That’s the first rise since February, according to Reuters.

Iran is exempt from OPEC cuts and its exports have been rising in 2023 despite US sanctions, although views differ as to the exact scale. The overall development, some analysts say, is adding to OPEC+’s challenge in managing the market.

Output from the 10 OPEC members that are subject to OPEC+ supply cut agreements edged lower by 10,000 bpd, the survey found.

Saudi Arabia and other Persian Gulf littoral states maintained strong compliance with agreed cutbacks and extra voluntary reductions.

Iranian oil output hit 3.10 million bpd in August. This is the highest since 2018, the year Washington re-imposed sanctions against Iran.

Analysts have said the higher exports appear to be the result of Iran’s success in evading US sanctions and Washington’s discretion in enforcing them as the two countries seek better relations.

The second-largest increase in OPEC output this month came from Nigeria, where exports resumed from the Forcados terminal after a shutdown, the survey found.