OPEC+ focuses on compliance as Iraq and Kazakhstan overproduce oil

OPEC+ is focusing on ensuring its members comply with oil output cuts due to overproduction from Iraq and Kazakhstan. The alliance is implementing a plan that includes both formal and voluntary production reductions. Eight OPEC+ members, including Saudi Arabia, will start returning 2.2 million barrels per day of voluntary cuts to the market in December, delayed from October. They are also reducing output by an additional 1.7 million barrels per day through 2025. OPEC+ has faced ongoing compliance issues, affecting its credibility amid market uncertainties. Oil prices have remained low, with a recent report indicating Saudi Arabia may abandon its $100-per-barrel price target to increase output after December.