Opec+ keeps oil output steady

Opec+ kept oil output unchanged on Sunday after a quick meeting that avoided discussion of the political crises affecting several of the producer group's members.

The meeting of eight members of Opec+, which pumps about half the world's oil, came after oil prices fell more than 18 percent in 2025.

"Right now, oil markets are being driven less by supply-demand fundamentals and more by political uncertainty," said Jorge Leon, head of geopolitical analysis at Rystad Energy.

The eight Opec+ members - Saudi Arabia, Russia, the UAE, Kazakhstan, Kuwait, Iraq, Algeria and Oman - raised oil output targets by around 2.9 million barrels per day in 2025, equal to almost 3 percent of world oil demand, to regain market share.

The eight members agreed in November to pause output hikes for January, February and March due to relatively low demand in the northern hemisphere winter. Sunday's brief online meeting affirmed that policy and did not discuss Venezuela, one Opec+ delegate said.

The eight countries will next meet on February 1, Opec+ said.

NUMEROUS CRISES

Opec has in the past managed to overcome many internal rifts, such as over the Iran-Iraq War, by prioritising market management over political disputes.

Yet, the group is facing other crises, with Russian oil exports falling due to US sanctions over its war in Ukraine, and Iran facing protests and US threats of intervention.

Venezuela has the world's largest oil reserves, bigger even than those of Opec's leader Saudi Arabia, but its oil production has plummeted due to years of mismanagement and sanctions.

Analysts said it is unlikely to see any meaningful boost to crude output for years, even if US oil majors do invest the billions of dollars in the country that Trump promised.