Kazakhstan has sparked fresh tensions within OPEC+ by asserting that its oil production strategy will be governed by national interests rather than group quotas, raising questions about future compliance and cohesion within the cartel.
Kazakh Energy Minister Erlan Akkenzhenov told Reuters on Wednesday that the Central Asian producer, which pumps around 2% of the world’s oil, cannot reduce output at key projects led by foreign majors such as Chevron and ExxonMobil. Megaprojects such as Tengiz, Kashagan, and Karachaganak make up 70% of Kazakhstan’s production, and they are expanding, further pushing national output above OPEC+ targets.
The timing is particularly sensitive. OPEC+ recently acknowledged an accumulated overproduction of 457,000 barrels per day and committed to offsetting that volume by June 2026. That admission, as reported by OilPrice.com, has intensified scrutiny on members whose output exceeds agreed limits. Kazakhstan’s posture now risks complicating those already fragile balancing efforts.
The Kazakh statement comes just days after oil prices steadied on short-covering and expectations of further OPEC+ restraint.
Kazakhstan’s prioritization of national interest could undermine that–again. Tensions have reportedly escalated behind closed doors, with sources cited by ZeroHedge claiming internal frustration among core members like Saudi Arabia over Kazakhstan’s continued overproduction.
Despite pledging to cut output through June 2026 to compensate, Akkenzhenov emphasized Kazakhstan’s limited control over joint ventures, and warned against shutting mature fields, which he described as risking permanent damage.
With the CPC pipeline expected to carry 1.2 million barrels per day this year, Kazakhstan’s exports remain robust even as other producers weigh deeper cuts. The situation highlights the growing strain inside OPEC+, where national priorities and big oil deals are making it harder for members to remain on the same page with respect to production goals.
By Charles Kennedy for Oilprice.com
More Top Reads From Oilprice.com