Saturday , August 13 2022

Saudi Arabia Decreases Oil Exports


Saudi Energy Minister Haled Al-Faleh said his country will reduce oil production and price declines will cause fear of a market collapse in 2014.

Palestinian oil ministers in Abu Dhabi said in a press conference at the Organization of Petroleum Exporting Countries (OPEC) and other countries, "The Saudi kingdom's oil exports in December will be 500,000 barrels a day more than in November."

On the other hand, he said major producers could not "agree" to reduce output.

Some ministers said that no joint decision should be made in Abu Dhabi, but OPEK should consider December in Vienna.

Haled al-Faleh asked about the possibility of discontinuing production in order to prevent price declines.

Alexander Novak, his Russian counterpart, said: "We need to analyze the market situation in detail and analyze the implementation of the agreement, and we have continued to cooperate to stabilize the market before deciding what to do next."

Between production growth in some major economies and concerns about falling demand, oil prices dropped nearly 20% in the first month of peaking. This was the highest level in four years.

Brenta crude prices fell below $ 70 on Friday for the first time since April, while US crude prices fell below $ 60. This is the ninth month of price decline.

Saudi Arabia, Russia, Kuwait and Iraq are showing signs of slowing demand, but oil production has increased and the US has oil shale oil.

The recent drop in oil prices is due to a decline in demand in China, the largest importer of growth, especially in economic growth, analyst Kailin Birch of the Economist Intelligence Unit said.

On the other hand, US sanctions against Iran, which was threatened to reduce world supplies and raise prices, disappeared with less than expected results.

In June, the United States, Moscow and Riyadh amended the restrictions on production in terms of sanctions to extract more oil and offset the decline in Iranian exports.

Saudi Energy Minister Riyadh said he increased production from 9.9 million barrels per day in May to 10.7 million barrels in October.

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