Skip to main content

Saudi boosts oil output to record level as price war intensifies

Oil-price war between Saudi Arabia and Russia escalates as the kingdom dramatically increases oil exports despite iffuse tensions between the two oil producers. With oil prices at record 18-year low, this could be a golden opportunity for any state to buy huge amount of crude oil and but can they store it?
Saudi Arabia boosted crude oil supply to record levels Wednesday, with state giant Aramco offering 18.8 million barrels on a single day despite a global supply glut as a price war rages with Russia.
Aramco’s announcement comes after a deal to limit crude output between the Organization of the Petroleum Exporting Countries (OPEC) and other producers, including Russia, expired on Tuesday.
The move comes despite pressure from Washington, with US President Donald Trump offering on Tuesday to help resolve the price war between Moscow and Riyadh that has sent crude prices plummeting to 18-year lows.
“As the world demands economic stability, Aramco remains committed to supplying the world with energy,” the oil giant said in a statement.
“The company is breaking records to supply 15 tankers loading more than 18.8 million barrels of oil,” it added.
Aramco also released aerial footage of  multiple oil tankers being loaded at sea.
The threat of a global recession triggered by the coronavirus pandemic had already hammered prices when Riyadh pledged last month to raise exports after a production-cut agreement among top producers flopped.

Saudi Aramco breaking records to supply 15 tankers with over 18.8 million barrels of oil
On Monday, Saudi Arabia said it would increase exports further to a record 10.6 million barrels per day from May, deepening a glut on world markets.
The kingdom, the world’s top oil exporter, had already announced a sharp production increase for April.
Saudi Arabia had been exporting around 7.0 million barrels per day under an output reduction agreement among a 24-member producer alliance known as OPEC+, which included Russia.
OPEC+ failed to reach an agreement on further production cuts to shore up sagging prices as the coronavirus battered the global economy last month.

Trump on Tuesday said he had spoken with his Russian counterpart Vladimir Putin and Saudi Crown Prince Mohammed Bin Salman by phone with the aim of halting the slide.
Analysts say Riyadh is engaged in a deliberate long-term strategy to capture greater market share by pressuring its high-cost rivals.

Comments

  1. World ObserverApril 7, 2020 at 9:23 AM

    Lovely article and effort to encounter the oil price war

    ReplyDelete

Post a Comment

Popular posts from this blog

The US_History #FPSc_PPSC_CSS_PMS

#History_of_USA Questions on Progressive Movement PROGRESSIVE MOVEMENT  Discuss the progress of the Progressive Movement in the United States between 1900 to 1916. (CSS 2001)  Note: Progressive Movement. (CSS 2004) Progressivism (1890-1920) Introduction By the beginning of the twentieth century, muckraking journalists were calling attention to the exploitation of child labor, corruption in city governments, the horror of lynching, and the ruthless business practices employed by businessmen like John D. Rockefeller. At the local level, many Progressives sought to suppress red-light districts, expand high schools, construct playgrounds, and replace corrupt urban political machines with more efficient system of municipal government. At the state level, Progressives enacted minimum wage laws for women workers, instituted industrial accident insurance, restricted child labor, and improved factory regulation At the national level, Congress passed laws establishing federal r...
Post a Comment
Read more

The #Corona virus Mystery

The spread of "#corona virus" is not simply accidental- if it is so - how "The #Eyes Of #Darknes"  exposed it word-by-word a long time ago - Bio Weapons has a fact of its own - Carona's spread to China since its inception could be a matter of controlling the growing population. Wuhan# Coronavirus is an engineered offensive bioweapon. You're not being told this by the Mockingbird media here because the US Gov is directly responsible for the global bioweapons arms race. We've spent somewhere in the neighborhood of $100-200 Billion since 9/11.The swine flu, hoof & mouth  and western Africa ebola outbreaks, etc, were all bioweapon development accidents. This kind of research is happening here, on US soil, & the last thing our police-state rulers want is for us to be aware of this domestic WMD research.The WHO, CDC, Fort Detrick, NIH & Big Pharma all know what's going on. Their corporate media allies are not going to spill the beans. W...
Post a Comment
Read more

Saudi Arabia brought Putin to its knees

Saudis brought Putin to his senses: OPEC will decide to cut output Top crude producers will on Thursday hold a crucial teleconference to discuss a possible cut in output after a collapse in demand caused by the coronavirus and a damaging Saudi-Russia price war caused a crash in the market. The talks between OPEC and its allies including Russia (OPEC+) along with key non-members is seen as the best chance to provide some much-needed support to prices, which are wallowing around two-decade lows. The conference, scheduled for 1400 GMT on Thursday, is a critical focus for investors in a market that remains highly volatile, with experts warning that without concerted action — expectations are for a 10 million barrel-a-day cut — the commodity could suffer another painful sell-off. Saudi-Russian Price War: American intervention But hopes are that a deal can be done. Last week US President Donald Trump claimed Russia and Saudi Arabia would step back from their stand-off and agree to sl...
Post a Comment
Read more