Saudi, Russia Support Gradually Boosting Oil Production Despite Iran Opposition

[The SC]

Friday, 15 June, 2018 - 08:30

Russian Energy Minister Alexander Novak and Saudi Arabian Energy Minister Khalid al-Falih shake hands ahead of a meeting in Moscow, Russia May 31, 2017. REUTERS/Maxim Shemetov/File Photo


After Saudi Arabia and Russia competed for the opening of the 2018 World Cup in Moscow, both countries will play part in a different and fateful match on June 22, as they join other oil-producing states in deciding the future of oil output.

The two countries are seeking to persuade 22 other countries to agree with them on raising their oil production starting July. Both Saudi and Russian energy ministers agreed in principle to raise oil production for OPEC countries and independent producers outside the ‘OPEC +’.

Russian Energy Minister Alexander Novak and Saudi Energy Minister Khalid al-Falih have agreed to expand cooperation in the oil and gas sector, Russia’s ministry said in a statement after their meeting in Moscow.
Novak and Falih also agreed to work towards a comprehensive bilateral agreement.

However, things will not be that easy. There are countries opposed to raising production, such as Iran, which sees OPEC being under great United States pressure.

It remains unclear since no one can say when and how much OPEC will be able to raise its output.

OPEC production is falling sharply this year, with Libya being the last country to join in dropping its production by about a quarter million barrels a day on Thursday.

Keen on sustaining joint efforts, Saudi Crown Prince Mohammed bin Salman and Russian President Vladimir Putin admitted their desire to continue cooperation on global oil markets.

“I think we’ll come to an agreement that satisfies most importantly the market,” Falih told reporters in Moscow on Thursday.

“I think it will be a reasonable and moderate agreement” but nothing “outlandish,” he said.

The two countries share a common view that production should increase gradually, but the precise volume of oil that could be returned to the market and the timing of the boost will be discussed with other ministers next week, Novak said.


https://aawsat.com/english/home/art...osting-oil-production-despite-iran-opposition

 

[Malik Alashter]

So how much they want to sell their oil its hardly 60 $ pb if they produce more then the price will decline to something like 40 $

But what benefits the saud house will get from that
The problem is that most of these nations heavily depending on oil money no industry no food no technology that they can sell to make money out of!!??

 

[The SC]

So how much they want to sell their oil its hardly 60 $ pb if they produce more then the price will decline to something like 40 $

But what benefits the saud house will get from that
The problem is that most of these nations heavily depending on oil money no industry no food no technology that they can sell to make money out of!!??

The price of oil is almost $80 now.. get your facts right.. and Saudi Arabia was formally asked by the US to pour in more Oil to the market to replace Venezuela drop in production and to anticipate the sanctions on Iran.. but KSA is discussing it with Russia.. So you should ask Russia..As for experts predictions Oil prices will hit $150 in 2 years from now..It is the market's demand and supply that decides the quantities and the price.. KSA is only one supplier in this market..So wait for the OPEC+ decision and the Saudi-Russian one..

 

[Malik Alashter]

The price of oil is almost $80 now.. get your facts right.. and Saudi Arabia was formally asked by the US to pour in more Oil to the market to replace Venezuela drop in production and to anticipate the sanctions on Iran.. but KSA is discussing it with Russia.. So you should ask Russia..As for experts predictions Oil prices will hit $150 in 2 years from now..It is the market's demand and supply that decides the quantities and the price.. KSA is only one supplier in this market..So wait for the OPEC+ decision and the Saudi-Russian one..

The problem is that saudis work by remote control they don't care much while the countries especially my Iraq does.

 

[The SC]

The problem is that saudis work by remote control they don't care much while the countries especially my Iraq does.

In what sense.. Iraq was allowed by OPEC along with Libya to increase their production.. so where is the problem? or you just see one where there is none..Iraq has much more Oil then declared.. just wait till the country is fully stabilized to see the scope of it..

 

[Malik Alashter]

In what sense.. Iraq was allowed by OPEC along with Libya to increase their production.. so where is the problem? or you just see one where there is none..Iraq has much more Oil then declared.. just wait till the country is fully stabilized to see the scope of it..

Do you have any proof that Iraq has more than it's announced? that's honestly great news but we have Venezuela with the most crude oil yet they can't produce More than two millions a day?!

 

[The SC]

Do you have any proof that Iraq has more than it's announced? that's honestly great news but we have Venezuela with the most crude oil yet they can't produce More than two millions a day?!

The proof is that there are many huge wells that have not been exploited yet.. you can google the information..
Venezuela's problem is political. mostly a conflict with the US.. the reserves are still there and the capacity to produce is also still there..but the country is very unstable due to sanctions by the US..

 

[Malik Alashter]

The proof is that there are many huge wells that have not been exploited yet.. you can google the information..
Venezuela's problem is political. mostly a conflict with the US.. the reserves are still there and the capacity to produce is also still there..but the country is very unstable due to sanctions by the US..

Well I've read somewhere that Iraq's reserve may exceed that of Saudi Arabia but all that still speculations

 

[Falcon29]

As for experts predictions Oil prices will hit $150 in 2 years from now..

Source?

 

[The SC]

Well I've read somewhere that Iraq's reserve may exceed that of Saudi Arabia but all that still speculations

I don't know if they exceed those of KSA..(unlikely though).. but there are for sure untapped huge reserves in Iraq..