Oil Prices Dip as OPEC+ Pauses Output Hikes Amid Oversupply Concerns

PUKMEDIA

Oil prices.

Oil prices slipped on Tuesday, 4 November 2025, as investors interpreted OPEC+’s decision to halt output increases in the first quarter as a sign of potential oversupply in the market.

According to Reuters, Brent crude futures fell by 15 cents, or 0.2%, to $64.74 per barrel by 04:05 GMT, while U.S. West Texas Intermediate (WTI) crude dropped 14 cents, or 0.2%, to $60.91 per barrel.

On Sunday, the Organization of the Petroleum Exporting Countries and its allies (OPEC+) agreed to a modest output increase for December, alongside a pause in production hikes for the first quarter of next year.

Since April, OPEC+ has raised production targets by around 2.9 million barrels per day—roughly 2.7% of global supply—but began slowing the pace in October in response to forecasts of an emerging surplus.

Meanwhile, executives from some of Europe’s largest energy firms disputed projections of an oil glut next year, citing steady demand growth and easing production constraints. The U.S. Department of Energy’s Deputy Secretary, James Danly, also stated that he does not expect an oil surplus in 2026.

The decision to maintain output levels followed lobbying by Russia, which reportedly pushed for a pause as it faces difficulties expanding exports under Western sanctions, according to four OPEC+ sources.

In October, both the United States and United Kingdom imposed sanctions on Russia’s two largest oil companies, Rosneft and Lukoil.



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