Riyadh: Saudi Arabia is “not prepared” to cut oil production, its foreign minister said on Thursday, after the top exporter agreed with Russia to freeze output if major rivals follow.
“If other producers want to limit or agree to a freeze in terms of additional production that may have an impact on the market but Saudi Arabia is not prepared to cut production,” Adel al-Jubeir told.
“The oil issue will be determined by supply and demand and by market forces. The kingdom of Saudi Arabia will protect its market share and we have said so,” he said in an interview.
Saudi Arabia and other OPEC producers have refused to reduce output in an attempt to drive less competitive players, in particular US shale oil producers, out of the market.
But in the first sign of OPEC and non-cartel producers cooperating after prices fell around 70 percent since mid-2014, Saudi Arabia and Russia said Tuesday they would freeze output if other major producers do the same.
Venezuela, Qatar and Kuwait also agreed on the planned freeze following talks in Doha.
Saudi Arabia’s regional rival Iran surprised markets by saying that it too supported the move, sending prices soaring.
Although Tehran has not committed to any output curbs, its comments were seen as significant as it returns to world markets following the lifting of international sanctions.
Your email address will not be published. Required fields are marked *
Save my name, email, and website in this browser for the next time I comment.
Copyright © 2014 - 2021 The Global Indian New Network (TGINN)
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.