Saudi Arabia was forced to cut oil production by more than 200,000 barrels per day (b/d) last month after OPEC’s forecasted demand figures were lower than expected, raising concerns about oversupply, The Telegraph reported.

OPEC’s total daily output for July rose by 41,000 b/d despite the Saudi cuts, as production from Nigeria, Kuwait, and the UAE increased production enough to offset the Kingdom’s  lower output.

Seperate to OPEC, crude production also rose. China produced 73,000 b/d more than expected in July,  the OPEC production report found.

The rise in global supply has helped to prevent prices creeping towards $80 a barrel, but the forecasted lower demand could see prices fall, according to analysts.

Currently Brent crude is sitting between $72.5 and $73 a barrel.

OPEC’s forecasted demand growth fell by 20,000 b/d month on month to a total of 1.64 million b/d for this year. Overall demand is expected to be 32.8 million b/d for 2018, 600,000 b/d lower that 2017 demand.