August 13, 2022

Dubai Week

Complete Dubai News World

Oil results belong to "OPEC +".

Oil results belong to “OPEC +”.

Ministers and officials in Saudi Arabia have confirmed that oil policy decisions will be made within and according to the logic of the market. OPEC + . allianceUS President Joe Biden after completing a historic visit to the Kingdom.

Biden said late Friday that officials in Saudi Arabia shared his “urgent need” to increase oil supplies, and he expected “further action in the coming weeks.”

Meanwhile, Saudi officials stressed that any decision to pump more would be made within the framework of OPEC+, which holds its next meeting on August third.

“We are listening to our allies and friends from all over the world, especially in consuming countries,” Foreign Minister Prince Faisal bin Farhan told reporters, but ultimately, OPEC+ will follow market conditions and provide energy on demand. Reported by “Bloomberg” and viewed by “Al-Arabiya.net”. .

The OPEC+ alliance includes Russia, which the U.S. is trying to impose sanctions on to prevent it from benefiting from its oil revenues over its aggression in Ukraine. Riyadh has been clear about its commitment to working within the alliance.

Biden’s trip to the kingdom has been controversial domestically, but gasoline prices also pose a nearly recordable political risk.

“I’m doing everything I can to increase the supply to America, and I expect that to happen,” Biden said Friday.

For his part, Foreign Minister Adel al-Jubeir rejected the idea of ​​any deal. “It’s not about the deal. It’s about the kingdom’s long-term policy of ensuring adequate supply of crude oil in the markets and we are following the supply and demand situation very carefully. If there is a shortage, we are working to increase crude oil production through our partners as well,” he said. OPEC and our partners in OPEC+.”

See also  Emergency European recommendation on Omicron

The alliance had already moved to accelerate production in June after calls from consuming countries including the US. However, the picture could change ahead of the upcoming August 3 meeting as oil prices fall from recent highs and recession risks weigh on markets.

According to the terms of the current OPEC+ deal, Saudi Arabia’s production will reach 11 million barrels per day next month.

In an interview with Al-Arabiya, oil expert, Muhammad Al-Shatti, said the oil market is subject to developments in the Russian-Ukrainian conflict, particularly regarding the security of supplies.

Al-Shatti, in an interview with Al-Arabiya, said that economic stagnation and fears of a return of the “Covid-19” outbreak in China also have an impact on demand, but it is not so much the result of a shortage of goods.

Al-Shatti indicated that the market will be clearer in the next two weeks when the OPEC Plus alliance meets on August 3.

“The August meeting will decide what happens in September, whether there will be an increase or a continuation of the status quo,” he pointed out.

The oil expert believes that the price drop in the past days is a temporary decline for a certain period of time, then the prices will return to the level of $ 100, and increase according to the view of speculators and players in the oil markets.