Monday , June 21 2021

Saudi Arabia is leaving OPEC? The Energy Minister denies this

Oil well in Bahrain. (20 January 2016)

Oil well in Bahrain. (20 January 2016)

| Photo: AP

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The Saudi government is apparently considering investigating the consequences of the imminent collapse of the Organization of the Petroleum Exporting Countries (OPEC) in the world oil market. He wrote this at the end of last week in the Wall Street Journal, quoting an unnamed government adviser.

The US has once again hit Iran with sanctions, and in the assault, Europe will support it

OPEC was founded in 1960. Today it has 15 members – six in the Middle East, seven in Africa and two in South America.Caudia has long been a dominant force in the group, which accounts for about a third of the organization's oil production.

According to the German Deutsche Welle, Middle Eastern countries are examining the status quo in global oil production. The main reason for this is the sharp increase in oil production in the United States in the last ten years, as well as the pressure on Saudi Arabia following the assassination of journalist Jamal al-Hajri.

Over the years, OPEC has regulated oil production to control global prices, and OPEC members, like Saudi Arabia, have long argued that the organization helps prevent high or low oil prices. But critics say OPEC is using large oil consumers like the US Regular visitors include US President Donald Trump.

The plan is to reduce supply

"Saudi Arabia will not disintegrate into OPEC," said Minister Al-Falih, adding that he believes the group will remain a global oil bank for a long time.

In two years there will be shortage markets markets, its price will go up, says expert

He said that Saudi Arabia had planned to cut oil supplies to world markets in December compared to the previous month by half a million barrels a day. This year, following pressure from US President Donald Trump and other oil consumers, the country has increased its mining by about one million barrels a day to help reduce the low shipments from Iran due to renewed US sanctions on Tehran.

Any reduction in mining, if OPEC will confirm, is also in favor of Russian Energy Minister Alexander Novak. He, along with Schleif, participated in meetings of the OPEC Monitoring Committee and other producer countries that matched oil production on Sunday.

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