Iraq, OPEC’s second-largest producer, is seeking to renegotiate its production quota to better reflect its full output capacity of 5.5 million barrels per day (bpd). Under current OPEC+ agreements, Iraq’s quota stands at 4.4 million bpd a level Baghdad says limits its economic potential.
Why It Matters:
Any revision to Iraq’s quota could affect global oil supply dynamics and market prices. OPEC’s coordinated production limits are key to stabilizing crude prices, and Iraq’s push for a higher ceiling could spark debates within the group about balancing national interests and collective strategy.
Oil Minister Hayan Abdel-Ghani said Iraq remains committed to OPEC’s current framework but hopes for flexibility that aligns with its investment in new production capacity. Traders and analysts are watching closely, as any sign of a quota change could sway oil markets.
What’s Next:
Negotiations are expected to continue within the OPEC+ committee ahead of the group’s next ministerial meeting. The outcome will determine whether Iraq gains a larger share of the production pie amid ongoing global demand uncertainty.
With information from Reuters.
