Kuwait oil output hits highest level since Iran war

Kuwait's crude oil production climbed nearly 20% in July to approximately 1.971 million barrels per day, marking the highest output level since the start of the Iran war, according to Bloomberg. The increase of roughly 300,000 barrels per day from June's 1.65 million bpd represents a dramatic recovery from the lows of just 580,000 bpd recorded in May, when the Strait of Hormuz blockade severely constrained Gulf exports.oilprice+1

September Target Set at 2.676 Million bpd

Kuwait's Oil Minister Tariq Al-Roumi announced the country will raise production further to 2.676 million bpd in September, in line with OPEC+'s latest agreement to unwind voluntary cuts. The decision came at the 67th Joint Ministerial Monitoring Committee meeting, where seven participating countries agreed to boost collective output by 188,000 barrels per day starting in September.timeskuwait

"The gradual increase reflects a carefully considered strategy that enables producers to respond responsibly to market developments while safeguarding long-term market stability," Al-Roumi said.timeskuwait

OPEC+ Unwinds Cuts Amid Persistent Challenges

The production increase effectively completes OPEC+'s reversal of cuts agreed in 2023, though the group's ambitions face real-world constraints. Saudi Arabia has been forced to reroute exports twice — first away from the Strait of Hormuz to the Red Sea's Bab el-Mandeb strait, and then northward to the Suez Canal due to Houthi threats.oilprice

Kazakhstan faces its own difficulties, with Ukrainian drone attacks on the Russian Black Sea port of Novorossiysk forcing production down to about 1 million bpd in late July from over 2 million bpd in June. The port handles roughly 80% of Kazakhstan's oil exports via the Caspian Pipeline Consortium.oilprice

Geopolitical Backdrop

While Kuwait's output remains about 20% below pre-war levels, the recovery signals that some tanker traffic is resuming through the Persian Gulf. Al-Roumi acknowledged that the meetings took place "against a backdrop of continuing geopolitical uncertainties and ongoing threats to strategic global energy transport routes". The next meeting of participating countries is scheduled for September 4, 2026.bloomberg+1