Seven OPEC+ countries agreed at a virtual meeting on June 7 to increase oil production quotas by 188,000 barrels per day in July, lifting the alliance’s total July quota to 35.83 million bpd, excluding any adjustments for compensation related to past overproduction, according to an OPEC statement.

The increase applies to Saudi Arabia, Russia, Iraq, Kuwait, Kazakhstan, Algeria and Oman, and follows additional voluntary adjustments first announced in April and November 2023. OPEC said the July change will be implemented under the framework of those voluntary adjustments, which may be returned in part or in full depending on market conditions and in a gradual manner.

The group extended the compensation period through the end of December 2026 and said the seven countries will hold monthly meetings to review market conditions, conformity and compensation, with the next meeting set for July 5.

The decision comes as oil flows through the Strait of Hormuz have been disrupted, affecting exports from the region. Iraq’s oil ministry said Iraq and the Kurdistan Region are producing nearly 1.5 million bpd, down from more than 4 million bpd before late February, and said Iraq’s quota under the July increase rises by 26,000 bpd.