The Organization of the Petroleum Exporting Countries reported a decline in crude production in January while leaving its global oil-demand projections unchanged in its latest monthly market report. Total output from the broader OPEC+ alliance fell by 439,000 barrels per day to 42.45 million barrels per day in January. Production from OPEC members alone declined by 135,000 barrels per day to 28.45 million barrels per day, according to secondary-source estimates cited in the report.

Several member countries recorded lower volumes during the month. Venezuelan crude production decreased by 87,000 barrels per day to 830,000 barrels per day, while Iran’s output fell by 81,000 barrels per day to 3.13 million barrels per day. Kazakhstan also posted a sharp reduction that contributed to the overall drop in OPEC+ supply.The alliance, which accounts for roughly half of global crude output, has paused planned production increases through the end of March. Member countries are scheduled to meet online on March 1 to review output policy for the coming months.

OPEC kept its demand-growth forecasts unchanged from the prior report. Global oil consumption is projected to rise by 1.38 million barrels per day in 2026 and by 1.34 million barrels per day in 2027. The organization cited easing inflation, fiscal measures in key economies and improving trade activity as factors supporting demand.

Demand for crude from the OPEC+ group is expected to average 42.20 million barrels per day in the second quarter of this year, compared with 42.60 million barrels per day in the first quarter. Those estimates were also maintained from the previous month.Outside the OPEC+ framework, supply growth is forecast to increase by 610,000 barrels per day in 2027, slightly below the estimated 630,000 barrels per day increase for this year. Brazil, Canada, Qatar and Argentina are expected to account for much of the non-OPEC+ expansion.

Oil prices moved higher in recent trading. Brent crude futures rose 2.02% to $70.19 a barrel, while U.S. West Texas Intermediate gained nearly 2.1% to $65.30. Market participants have been monitoring developments between the United States and Iran amid concerns that heightened tensions could affect energy flows, though no supply disruptions have been reported.

Saudi Arabia, the group’s largest exporter, recently reduced the official selling price of its flagship crude grade to buyers in Asia for a fourth consecutive month. Further policy direction is expected following the March 1 meeting as producers assess market conditions and output strategy.

About the Organization of the Petroleum Exporting Countries (OPEC)

The Organization of the Petroleum Exporting Countries is an intergovernmental organization founded in 1960 and headquartered in Vienna, Austria. Its member countries coordinate oil-production policies to help stabilize global energy markets. The OPEC+ framework extends that coordination to additional major producers, including Russia and Kazakhstan, collectively representing a substantial share of global crude supply.

At the time of publishing, Stocks.News does not hold positions in companies mentioned in the article.