Libya's Oil Surge Spurs OPEC's November Output

OPEC oil production increased in November due to Libya's recovery after its political crisis. Libya's exemption from production limits and gains in Nigeria and Iran contributed to the rise. OPEC+, facing global demand issues, will deliberate on maintaining output cuts. Iraqi production saw a minor decrease.

In November, OPEC's oil output witnessed a second consecutive rise, largely driven by Libya's production recovery post-political crisis, according to a Reuters survey. Notably, Libya, exempt from OPEC+ cut agreements, saw the highest production increase by resolving a central bank control contention.

The Organization of the Petroleum Exporting Countries produced 26.51 million barrels daily last month, marking an uptick of 180,000 bpd from October. The boost is attributed to resumed full-scale production in Libya's oilfields, exerting downward pressure on global prices. Additionally, Nigeria and Iran each saw a rise of 50,000 bpd.

OPEC+ is set to convene on Thursday, potentially extending output cuts into 2025 amid global demand uncertainty and rising non-OPEC production. Iraq slightly reduced output to adhere to its compliance with OPEC+ quotas, while Gabon recorded the most significant surplus over its target.

(With inputs from agencies.)