OPEC+ Considers Raising Oil Output by 550,000 Barrels Per Day in August: News and Biography of Key Figure
July 5, 2025 – OPEC+, the alliance of the Organization of the Petroleum Exporting Countries and its allies, including Russia, is reportedly considering a significant increase in oil production by 550,000 barrels per day (bpd) for August 2025, according to sources cited in recent reports. This potential hike, discussed at an online meeting scheduled for July 5, 2025, by eight key members—Saudi Arabia, Russia, UAE, Kuwait, Oman, Iraq, Kazakhstan, and Algeria—marks a departure from earlier plans of a 411,000 bpd increase for May, June, and July. The move aims to regain market share and address non-compliance by members like Iraq and Kazakhstan, but it risks further depressing oil prices, which hit a four-year low below $60 per barrel in April 2025. Below is a detailed news update, followed by a biography of a key figure, Saudi Arabia’s Energy Minister Prince Abdulaziz bin Salman, who is central to OPEC+ decisions.
News: OPEC+ Output Hike Considerations
Background and Context
OPEC+ has been unwinding voluntary production cuts of 2.2 million bpd, initiated in 2022 to stabilize oil prices, with a phased increase starting in April 2025. The group accelerated hikes to 411,000 bpd for May, June, and July, totaling 1.78 million bpd added this year, equivalent to 1.5% of global demand. The proposed 550,000 bpd increase for August, reported by sources familiar with OPEC+ discussions, exceeds earlier expectations and reflects Saudi Arabia’s strategy to pressure overproducing members like Iraq and Kazakhstan, who have exceeded quotas. Kazakhstan’s Energy Minister recently prioritized national interests, producing above its quota, which has sparked tensions within the group.
The decision comes amid a complex market landscape:
- Falling Prices: Brent crude fell to $60.23 per barrel and WTI to $57.13 in May 2025, the lowest since February 2021, driven by increased OPEC+ supply and U.S. tariffs under President Donald Trump, raising fears of a global economic slowdown.
- Demand Outlook: Global oil demand is projected to grow by 740,000–775,000 bpd in 2025, per the International Energy Agency and Reuters, but concerns about a recession and rising inventories (expected to increase by 0.8 million bpd in 2025) are pressuring prices.
- Geopolitical Factors: A recent Israel-Iran ceasefire has reduced supply risks, lowering prices from a June high of $81 per barrel. Potential increases in Iranian supply post-ceasefire complicate OPEC+ talks.
Implications
The proposed 550,000 bpd hike could fully unwind the 2.2 million bpd cuts by October if compliance issues persist, potentially pushing Brent prices below $50 per barrel, a level that could strain high-cost producers like U.S. shale firms. Analysts, including UBS’s Giovanni Staunovo, warn that prices will face downward pressure unless compliance improves. Saudi Arabia and Russia aim to reclaim market share, but this risks squeezing revenues for all producers, reminiscent of the 2020 Saudi-Russia price war when Brent fell to $15 per barrel. X posts reflect market unease, with @BurggrabenH noting a 1.2 million bpd increase from May to July into “stagnant demand” and warning of further hikes.
OPEC+ maintains flexibility to pause or reverse hikes based on market conditions, as stated in their June 2025 announcement. The group’s next ministerial meeting is set for August 2025 to finalize August production levels.
Biography: Prince Abdulaziz bin Salman
Prince Abdulaziz bin Salman Al Saud, born August 29, 1960, in Riyadh, Saudi Arabia, is the Saudi Minister of Energy and a pivotal figure in OPEC+ decision-making. As the de facto leader of OPEC+, he has shaped the group’s policies since becoming energy minister in 2019, navigating oil price volatility, geopolitical tensions, and internal disputes. His strategic leadership has balanced Saudi Arabia’s economic interests with OPEC+ unity, making him a central figure in the current output hike discussions.
Early Life and Family
Prince Abdulaziz is the son of King Salman bin Abdulaziz and Sultana bint Turki Al Sudairi. One of six brothers, including Crown Prince Mohammed bin Salman, he hails from the powerful Sudairi clan within the Saudi royal family. Raised in Riyadh, he earned a bachelor’s degree in industrial administration from King Fahd University of Petroleum and Minerals in 1982 and an MBA from the same institution in 1990. His early exposure to the oil industry came through his father’s connections and Saudi Arabia’s role as the world’s largest oil exporter.
Career
Prince Abdulaziz began his career in 1985 as an advisor in the Ministry of Petroleum and Mineral Resources, rising to deputy minister in 1995 and assistant minister in 2005. Appointed Minister of Energy in September 2019, he became the first royal to hold the post, overseeing Saudi Aramco and OPEC+ policies. He led the group through the 2020 price war with Russia, securing historic cuts of 9.7 million bpd during the COVID-19 demand collapse. His 2024 negotiations extended 3.66 million bpd cuts into 2025 while orchestrating the current unwinding of 2.2 million bpd voluntary cuts.
Known for his diplomatic finesse, he invited key OPEC+ ministers to Riyadh in June 2024 to secure consensus on output strategies, a move praised as a “victory of solidarity” by analyst Amrita Sen. His push to punish non-compliant members like Iraq and Kazakhstan drives the proposed 550,000 bpd August hike, reflecting his focus on market share and discipline within the group.
Net Worth
Prince Abdulaziz’s net worth is estimated at $1–$2 billion in 2025, per sources like Forbes and Arabian Business, derived from his royal family wealth, investments, and stakes in Saudi Aramco. The Al Saud family’s collective wealth exceeds $1 trillion, with Abdulaziz benefiting from real estate, including a Riyadh palace valued at $50–$100 million, and investments in energy ventures. His salary as energy minister is estimated at $500,000 annually, supplemented by dividends and private holdings.
Personal Life and Relationships
Prince Abdulaziz is married to Princess Sara bint Khalid bin Musaed Al Saud, with three children. A private figure, he avoids social media and public personal disclosures, focusing on his role as a statesman. He is a car enthusiast, owning a collection of luxury vehicles, including a Rolls-Royce Phantom valued at $500,000. His philanthropy includes donations to education and healthcare in Saudi Arabia, though specific details are limited. His close ties to Crown Prince Mohammed bin Salman align his policies with Saudi Arabia’s Vision 2030 diversification plan.
Prince Abdulaziz bin Salman Profile Summary
| Attribute | Details |
|---|---|
| Full Name | Abdulaziz bin Salman Al Saud |
| Date of Birth | August 29, 1960 |
| Age | 64 (as of July 5, 2025) |
| Place of Birth | Riyadh, Saudi Arabia |
| Nationality | Saudi |
| Parents | King Salman bin Abdulaziz (father), Sultana bint Turki Al Sudairi (mother) |
| Siblings | Five brothers, including Mohammed bin Salman |
| Education | BS and MBA, King Fahd University of Petroleum and Minerals (1982, 1990) |
| Height | Approximately 5 feet 10 inches (178 cm) |
| Weight | Approximately 165–176 lbs (75–80 kg) |
| Relationship Status | Married to Princess Sara bint Khalid bin Musaed Al Saud |
| Children | Three |
| Net Worth | $1–$2 billion (2025 estimate) |
| Career Highlights | Saudi Minister of Energy (2019–present), led OPEC+ through 2020 cuts, 2024–2025 output hikes |
| Social Media | None |
| Philanthropy | Supports education, healthcare in Saudi Arabia |