Iraq and other OPEC countries maintain the largest oil surplus

Shafaq News / Reuters reported on Wednesday that the Organization of the Petroleum Exporting Countries (OPEC), including Iraq, Saudi Arabia, the United Arab Emirates, and Kuwait, continues to control almost all surplus capacity for crude oil production worldwide.

The agency states that surplus capacity refers to idle production that can be provided during times of crises, wars, and natural disasters.

It indicates that OPEC's total surplus capacity amounts to 5.1 million bpd, including 3.2 million bpd in Saudi Arabia, one million bpd in the UAE, 400,000 bpd in Iraq, and 300,000 bpd in Kuwait.

The largest producers in OPEC, along with some of their allies, possess surplus capacity due to their decisions to reduce supplies to the global market because of increased production from non-allied producers such as the United States, Brazil, and Ghana.

Reuters highlighted that HSBC Bank, in its report last week, clarified that OPEC's surplus capacity above average would offset the impact of disruptions in the Red Sea and increasing geopolitical risks, with the possibility of Brent crude oil prices remaining between $75 and $85 per barrel in the medium term.