Iraq Tightens the Reins on Oil Production: Compliance in Focus

In September, Iraq produced 3.94 million barrels of oil per day, which is below the OPEC+ quota of approximately 4 million barrels per day. These figures, shared by an Iraqi official under the condition of anonymity, contrast with a Reuters report from October 3, which identified an overproduction of 90,000 barrels per day. The official explained that the lower production numbers were due to reduced exports, a decline in domestic consumption, and decreased output in the Kurdistan region. Iraq had initially planned to reduce its production to between 3.85 and 3.9 million barrels per day in September to compensate for previous overproduction. Compliance with production quotas was a key topic at a recent meeting of leading OPEC+ ministers, led by Saudi Arabia and Russia. Iraq and Kazakhstan are particularly in focus, as they committed to special cuts of 123,000 barrels per day in September to address their past excesses. At a meeting earlier this month, Iraq, Kazakhstan, and Russia assured that they implemented their pledged cuts in September, as confirmed by an OPEC statement. The issue of quota compliance remains a central concern for OPEC+ in the coming weeks.