The concept of OPEC+ is an international alliance or scheme, not a formal intergovernmental institution like its core component, the Organization of the Petroleum Exporting Countries (OPEC). It was formed in late 2016. The alliance was created to better control the global crude oil market and stabilize prices, which had fallen dramatically due to a significant increase in U.S. shale oil output. The arrangement was formalized through the Declaration of Cooperation.
OPEC+ connects the 12 members of OPEC—which was founded on September 14, 1960, in Baghdad by five countries (Iran, Iraq, Kuwait, Saudi Arabia, and Venezuela)—with ten major non-OPEC oil-producing countries, including Russia, Kazakhstan, and Mexico. The combined group produced about 59% of global oil production in 2022, giving it significant influence over global oil prices.
The alliance works by coordinating oil production levels, primarily through setting and adjusting production quotas for its members. By collectively reducing the supply of crude oil, the group aims to raise prices, and by increasing supply, it can lower them. The Joint Ministerial Monitoring Committee (JMMC) oversees compliance with these quotas.
Recently, the alliance has been gradually unwinding voluntary production cuts first announced in April 2023. For instance, seven countries agreed to an output increase of 188,000 barrels per day starting in July 2026. The deadline for members to compensate for overproduction has been extended until the end of December 2026. Furthermore, a new mechanism for assessing members' maximum production capacity to set baselines for 2027 output quotas was approved in late 2025. In terms of membership, Angola withdrew effective January 1, 2024, and the UAE announced its exit from both OPEC and OPEC+ effective May 1, 2026.