12:15 PM EDT, 09/08/2025 (MT Newswires) -- Oil prices advanced Monday after certain oil-producing nations slowed down the pace of production gains amid what is largely seen as an over-supplied market.

West Texas Intermediate crude futures rose 0.9% at $62.41 a barrel in Monday trade, while Brent oil rose 1% to $66.17.

On Sunday, eight members of the Organization of the Petroleum Exporting Countries and its allies -- collectively known as OPEC+ -- agreed to raise October output by 137,000 barrels per day. That's smaller than just under 550,000 barrels added in September and August each, and 411,000-barrel gains in each of the prior three months.

The eight countries -- Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman -- announced the adjustment citing low oil inventories amid a stable global economic outlook and healthy market fundamentals.

"Riyadh and its allies signaled a decisive pivot: defending market share now outweighs defending prices," said Rystad Energy Chief Economist Claudio Galimberti. "The headline volume may look marginal, but the messaging is not."

The latest output hike marks the second-tranche unwind of the group's voluntary production cuts, Rystad said in a note e-mailed to MT Newswires, following the return of 2.2-million barrels per day in supply to the market.

"By allowing supply back into a market moving toward surplus, OPEC+ is playing offense, not defense," Galimberti said. "Traders have been put on notice."

Galiberti said that only Saudi Arabia, the UAE and Iraq can deliver significant volume increases amid structural capacity constraints.

Saxo Bank shared Rystad Energy's sentiment on the oil group's effort to regain market share, but said there will likely be "limited" immediate impact on supply.

"The immediate impact remains limited as Iraq, Kazakhstan, and the UAE must fully compensate for overproduction since January 2024," Saxo Head of Commodity Strategy Ole Hansen said in a report.

Separately, the European Union is considering fresh sanctions against Russian banks and energy companies to exert greater pressure on Moscow to end the war in Ukraine, Bloomberg News reported on Monday.