AdvertisementAdvertisementThe logo of the Organisation of the Petroleum Exporting Countries (OPEC) is seen at OPEC's headquarters in Vienna, Austria December 5, 2018. (Photo: Reuters/Leonhard Foeger)06 Apr 2026 02:21AM (Updated: 06 Apr 2026 02:25AM) Bookmark Bookmark WhatsApp Telegram Facebook Twitter Email LinkedInAdd CNA as a trusted source to help Google better understand and surface our content in search results.Read a summary of this article on FAST.Get bite-sized news via a newcards interface. Give it a try.Click here to return to FAST Tap here to return to FASTFAST MOSCOW/LONDON: OPEC+ agreed on Sunday (Apr 5) to raise its oil output quotas by 206,000 barrels per day for May, a modest rise that will largely exist on paper as key members are unable to increase production due to the US-Israeli war with Iran.The war has effectively shut the Strait of Hormuz, the world's most important oil route, since the end of February, cutting exports from OPEC+ members Saudi Arabia, the UAE, Kuwait and Iraq. Crude prices have surged to a four-year high close to US$120 a barrel, pushing up transport fuel costs and pressuring consumers and businesses globally.The quota increase represents less than 2 per cent of the supply disrupted by the Hormuz closure, but signals readiness to raise output once the waterway reopens. Consultancy Energy Aspects called the increase "academic" as long as disruptions persist."When the Strait of Hormuz is closed, additional barrels from OPEC+ become largely irrelevant," said Jorge Leon, a former OPEC official and head of geopolitical analysis at Rystad Energy.ATTACKS ON ENERGY ASSETS A CONCERNShow MoreShow LessEight members of OPEC+ agreed to the May quota increase at a virtual meeting on Sunday. A separate panel, the Joint Ministerial Monitoring Committee, expressed concern about attacks on energy assets, saying they were expensive and time-consuming to repair and therefore had a significant impact on supply.Besides Gulf disruptions, other members such as Russia are unable to increase output due to Western sanctions and infrastructure damage from the war in Ukraine. Gulf officials have said it could take months to resume normal operations even if the war stopped and Hormuz reopened immediately.A map showing the Strait of Hormuz is seen in this illustration taken June 22, 2025. (Photo: Reuters/Dado Ruvic/Illustration)RECORD OIL SUPPLY DISRUPTIONThe conflict has caused the largest oil supply disruption on record, estimated to have removed as many as 12 to 15 million barrels per day, or up to 15 per cent of global supply.Oil prices could spike above US$150 a barrel, an all-time high, if flows via Hormuz remain disrupted into mid-May, JPMorgan said on Thursday.Iran said on Saturday that Iraq was exempt from any restrictions on transit through Hormuz, and shipping data on Sunday showed a tanker loaded with Iraqi crude passing through the strait. However, it remains unclear whether more vessels will take the risk, a source close to the issue said.The eight OPEC+ members hold their next meeting on May 3.US crude jumps more than 11%, Brent nearly 8% after Trump vows more attacks on IranHow the US could try to seize Iran’s Kharg Island - and why it might backfireWTI, June Brent crude futures settle down on reports that Iran may be ready to end warSource: Reuters/fsSign up for our newslettersGet our pick of top stories and thought-provoking articles in your inboxSubscribe hereGet the CNA appStay updated with notifications for breaking news and our best storiesDownload hereGet WhatsApp alertsJoin our channel for the top reads for the day on your preferred chat appJoin hereAlso worth readingContent is loading...Expand to read the full storyGet bite-sized news via a newcards interface. Give it a try.Click here to return to FAST Tap here to return to FASTFAST