OPEC+ decided on Sunday to keep oil production levels unchanged, choosing stability over immediate action as political crises rattle the global oil market.
The brief meeting involved eight members of the group — Saudi Arabia, Russia, the UAE, Kazakhstan, Kuwait, Iraq, Algeria, and Oman — which together account for roughly half of the world’s oil supply.
The decision follows a turbulent 2025, when oil prices dropped more than 18% — the steepest yearly fall since 2020 — largely due to oversupply concerns, NY Post reported.
Despite tensions flaring between Saudi Arabia and the UAE over conflicts in Yemen, the group avoided discussing these disputes during Sunday’s meeting.
“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 and a former OPEC official. “And OPEC+ is clearly prioritizing stability over action.”
OPEC+ Confirms January-March Output Freeze
In 2025, the same eight OPEC+ members had raised oil output targets by around 2.9 million barrels per day, roughly 3% of global demand, in an effort to regain market share.
However, they agreed in November to pause output increases for January, February, and March due to weaker winter demand in the northern hemisphere.
Sunday’s online meeting confirmed this pause and did not address Venezuela’s situation, according to one delegate. The next formal OPEC+ gathering is scheduled for February 1.
According to Reuters, OPEC+ has historically navigated internal disputes, including those during the Iran–Iraq War, by focusing on market management rather than political differences. Yet several ongoing crises continue to challenge the group.
Russian oil exports are constrained by US sanctions linked to the war in Ukraine, and Iran faces both domestic protests and the threat of US intervention.
Venezuela, holding the world’s largest oil reserves, has seen production collapse due to years of mismanagement and international sanctions.
Analysts caution that even if US oil companies invest billions as promised, a meaningful increase in Venezuelan output is unlikely for several years.
Originally published on vcpost.com
