OPEC+ JMMC recommends no change to oil production agreement

By Al Mayadeen English
Source: News Websites
28 Jul 2025 18:39

The OPEC+ Joint Ministerial Monitoring Committee reviewed oil production for May and June 2025 and recommended no changes to the current agreement, urging compensation plans from non-compliant members.

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The logo of the Organization of the Petroleum Exporting Countries (OPEC) is seen outside of OPEC's headquarters in Vienna, Austria, March 3, 2022 (AP)

The OPEC+ Joint Ministerial Monitoring Committee (JMMC) has recommended maintaining the current oil production agreement, according to an official communique issued following its meeting on Monday.

The committee reviewed crude oil production levels for May and June 2025 and concluded that participating countries in the Declaration of Cooperation (DoC) demonstrated overall conformity with the agreed targets.

"The JMMC reviewed the crude oil production data for May and June 2025 and noted the overall conformity for OPEC and non-OPEC countries participating in the Declaration of Cooperation (DoC)," the statement read. No new decisions or changes to output levels were proposed.

Call for compensation from overproducing members

The JMMC emphasized the need for continued adherence to the oil output targets and urged member countries that exceeded their quotas to submit updated compensation plans. These plans must outline how overproduction will be offset and are due by August 18.

This call underscores the committee’s focus on ensuring long-term market balance and stability through compliance with the OPEC+ oil production agreement.

According to the communique, the next OPEC+ Joint Ministerial Monitoring Committee meeting is scheduled for October 1, 2025. The meeting will continue to assess conformity and market developments as part of ongoing efforts to manage global oil supply effectively.

OPEC+ set to approve larger-than-expected oil supply increase

The latest JMMC decision to maintain existing oil production levels follows recent moves by OPEC+ to adjust output in response to market demands. In June, the alliance agreed to a larger-than-expected supply increase of approximately 550,000 barrels per day for August, aimed at addressing summer demand pressures and stabilizing prices.

The planned August increase marks a significant pivot for OPEC+, which has surprised markets since April by ramping up production more aggressively than anticipated. The shift comes at a time of high global inventory levels and slowing demand growth, especially from China, raising questions about the group’s long-term strategy.

If approved, the planned hike would have brought OPEC+ significantly closer to reinstating 2.2 million barrels per day of suspended output by September. Another similar increase was considered for the following month, with potential production targets for September also expected to be on the meeting agenda.