Libya’s return to full oil production in October boosted OPEC‘s total output by 466,000 barrels per day (bpd) compared to September, according to the cartel’s monthly report released on Tuesday. This increase comes just weeks before OPEC plans to scale back some of its production cuts.
In October, the combined crude oil production from all 12 OPEC members averaged 26.53 million bpd, up by 466,000 bpd from September, as reported by OPEC’s secondary sources in its Monthly Oil Market Report.
The increase in output was largely driven by Libya, Nigeria, and Congo, while production in Iran, Iraq, and Kuwait saw declines. Libya’s output rose sharply by 556,000 bpd last month after resolving a political dispute that had previously shut down over half of its oil production.
The political crisis in Libya, which began in September, had led to the complete shutdown of the country’s oil output. This was due to a standoff between Libya’s two rival governments over the appointment of a new central bank governor. Once the issue was settled, Libya resumed oil production in early October and is now producing an estimated 1.3 million bpd, surpassing pre-crisis levels.
In contrast, Iran’s oil production dropped by 68,000 bpd in October, according to OPEC’s secondary sources. The decline came as Iran reduced output and exports amid escalating tensions with Israel. Iranian oil tankers were seen leaving Kharg Island, the country’s largest oil export terminal, in early October due to concerns over a potential Israeli strike. Although Israel carried out a limited attack, it eased immediate fears of an assault on Iran’s vital oil infrastructure.
Among other OPEC members, Saudi Arabia maintained its production at just under 9 million bpd, in line with the country’s commitment made over a year ago.
Looking ahead, OPEC plans to start reversing its production cuts in January 2025, depending on market conditions.
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