OPEC’s oil output in August dropped to its lowest since January, according to a Reuters survey. The decline was driven by unrest in Libya, disrupting supply, along with ongoing voluntary supply cuts by other OPEC members and the OPEC+ alliance.
The Organization of the Petroleum Exporting Countries pumped 26.36 million barrels per day in August, down by 340,000 bpd from July. This marked the lowest production level since January 2024, according to the Reuters survey.
Libya experienced the largest supply loss in August, with a decline of 290,000 bpd. Political unrest affecting the Sharara field and other areas reduced Libya’s output to an average of 900,000 bpd during the month.
Despite some data, like Kpler’s, showing minimal impact on Libyan exports, survey sources indicated a more significant production decrease. Libya remains exempt from OPEC+ production limits, along with Iran, which continued boosting exports.
Iraq also lowered its exports in August to align more closely with its OPEC target. Meanwhile, Nigeria saw a slight increase in exports. Overall, OPEC’s output exceeded the implied target by 220,000 bpd, primarily due to Iraq’s excess.
