OPEC Output Rises Again in July as Gulf Producers Restore War-Shut Supplies

OPEC's crude production climbed for a second straight month in July, a survey of shipping data and industry sources showed, as Gulf producers brought back volumes that had been taken offline by the Iran war and the effective closure of the Strait of Hormuz.

The 11-member cartel pumped an average of 19.85 million barrels per day (bpd) last month, up 1.17 million bpd from June. The increase extends the recovery from May, which marked the lowest monthly output figure since at least 2000 — a level even below the demand-collapse depths of the 2020 COVID-19 pandemic.

Iraq recorded the largest month-on-month gain, followed by Kuwait. Iran also lifted exports, though a resumption of the U.S. blockade on its ports in mid-July slowed shipments again. Saudi Arabia's supply was slightly lower, while Libya — whose exports have been unaffected by the U.S.-Israeli war with Iran — also pumped more.

The figures exclude the United Arab Emirates, which formally left OPEC on May 1.

Seven members of the broader OPEC+ alliance, which includes Russia and other non-OPEC producers, had agreed to raise output in July. But the Middle East conflict made those planned increases impossible to implement fully, according to the survey.

The survey compiles flow data from financial group LSEG, tracking firms such as Kpler, and input from oil companies, OPEC officials, and consultants.