In March, OPEC’s oil output witnessed a decline, primarily driven by drops in supply from Venezuela and Iran due to renewed U.S. sanctions. A Reuters survey indicated that the Organization of the Petroleum Exporting Countries produced 26.63 million barrels per day (bpd), representing a decrease of 110,000 bpd compared to February’s figures.
The most significant reductions in output came from Nigeria, Iran, and Venezuela, each contributing a decline of around 50,000 bpd. As OPEC+ moves to gradually unwind its recent output cuts, the full implications of U.S. policies aimed at limiting oil supply from Iran and Venezuela remain uncertain.
The survey highlighted that while Nigeria’s supply decreased due to reduced deliveries to the Dangote refinery, the country is still producing slightly above its OPEC+ target. In contrast, Gabon stood out as the least compliant member within the group.
For Iran, the drop in output followed a period where production had returned to levels not seen since 2018. This decline comes as the Trump administration intensifies its efforts to exert pressure on Iranian oil exports.
Venezuela continues to face challenges as well, reflecting the impact of U.S. sanctions, which have included secondary tariffs and the revocation of operational licenses in the energy sector. Interestingly, output from OPEC’s larger producers, Saudi Arabia and Iraq, increased slightly; however, both nations are still producing below their OPEC+ targets.
The United Arab Emirates, on the other hand, maintained its output in line with its allocated quota. Overall, the survey found no significant increases in output for March, underscoring a complex geopolitical landscape affecting global oil supplies.
The data was compiled using information from various reliable market sources, including financial organizations and industry consultants.