The OPEC+ has agreed to a modest oil production increase of 188,000 barrels per day for June, marking the third consecutive monthly hike. However, the move is expected to remain largely symbolic as the ongoing Iran conflict continues to disrupt oil flows through the Strait of Hormuz.
The decision was taken during an online meeting involving seven key producers—Saudi Arabia, Iraq, Kuwait, Algeria, Kazakhstan, Russia, and Oman. The increase mirrors May’s adjustment but excludes the United Arab Emirates, which has exited the group.
Analysts say the move is intended to signal stability and continuity rather than deliver immediate supply relief. Despite higher output targets, actual production remains constrained due to blocked export routes in the Gulf. The closure of the Strait of Hormuz has significantly reduced shipments from major producers including Saudi Arabia, Iraq, Kuwait, and the UAE.
Saudi Arabia’s June production quota will rise to 10.291 million barrels per day, though its actual output stood at just 7.76 million bpd in March due to export limitations.
The supply disruption has pushed global oil prices above $125 per barrel, raising concerns about fuel shortages and inflationary pressures worldwide. Industry experts warn that even after shipping routes reopen, it could take weeks or months for supply levels to normalize.
OPEC+ is scheduled to meet again on June 7 to review market conditions.