Saudi Arabia steps up measures to stabilize oil market – Kommersant

The government of Saudi Arabia confirmed the desire of the kingdom to intensify measures to maintain the stability of the oil market. Earlier it was reported that Riyadh will extend a voluntary cut in oil production by 1 million barrels per day (b / d). The Council of Ministers confirmed the possibility of extending the production cut beyond August.

“The Council of Ministers reaffirmed the Kingdom’s commitment to step up precautionary measures taken by the OPEC+ countries to maintain stability and balance in oil markets, including the announcement of an extension of the voluntary cut of 1 million b/d,” the publication reports. Mubasher excerpt from the government’s decision. On July 3, the Ministry of Energy announced that Riyadh would extend a voluntary cut in oil production by 1 million b/d with the possibility of extension.

OPEC + at a meeting on June 4 decided to limit production by another 1.4 million barrels per day from 2024. The total target level of production of the participants in the transaction was fixed at 40.46 million bpd. Thus, the real production of the Russian Federation next year should decrease to 9.3 million b/d against about 9.9 million b/d in 2022, and the quota for the first time will be less than that of Saudi Arabia. Riyadh in 2024 will maintain a quota of 10.5 million b/d.

In July, Deputy Prime Minister Alexander Novak announcedthat Russia will voluntarily reduce oil exports by 500,000 barrels per day in August. The Ministry of Energy of the Russian Federation reduced oil supplies in August by 500 thousand b/d confirmed.

Read more in the publication “Kommersant” “Quot a new twist”.

Maria Fedotova