Reuters: OPEC is increasing September output despite Algiers decision

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A new industry survey conducted by Reuters shows that OPEC members will produce oil at record levels in September despite the decision to reduce the common output reached on Wednesday on the sidelines of the economy forum in Algiers.

Last week the Organization of Petroleum Exporting Countries agreed to cut the oil production to a level between 32.5 million and 33 million barrels per day. It is their first decision to limit the output since 2008. At the end of November the countries are to meet in their headquarters in Vienna to discuss individual quotas for each member.

"The agreement still leaves hard and difficult negotiations for the individual caps to be set," Bjarne Schieldrop, the chief commodities analyst at SEB, told Reuters. "Now, with an OPEC curb on the cards for the first time in eight years, Brent crude is not even able to lift above $50. At least not yet."

Reuters’ survey is based on shipping data supplied by external sources, Thomson Reuters flows data, and other information provided by corporate sources from the industry.