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This meeting, during which the members of the OPEC will examine ways to stop the decline in oil prices, comes a few days after the leaders of the largest oil producers – Russian President Vladimir Putin, Saudi Crown Prince Mohammed bin Salman and Trump – go to Argentina for a G20 summit this week.
Saudi Arabia decided to increase its supply in June, following calls from consumers, including the United States and India, to calm oil prices and address the shortage of oil. after sanctions imposed on Iran by Washington.
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But the move returned to Riyadh after Washington imposed tougher sanctions than expected in Tehran. This raised concerns about an oversupply of supply and prices plummeted to less than $ 60 a barrel on Friday, up from $ 85 a barrel in October.
The industry source, familiar with the issue, said Saudi crude oil production reached 11.1 to 11.3 million barrels per day (bpd) in November, without specifying the average production of oil. November before the end of the month.
These levels increased by about 0.5 million bpd – or 0.5% of global demand – in October and by more than one million bpd from the beginning of October. 2018, when Riyadh had reduced its production with other members of OPEC.
Non-OPEC Russia, which has partnered with Saudi Arabia for the first joint production cuts to OPEC since 2016, has also significantly increased its production in recent months to reach a post-Soviet peak of 11.4 million bpd.
Goldman Sachs badysts, one of the most active "We expect a reduction in OPEC and its announcement that will lead to a price recovery (of Brent)," said the bank in a note. "19659004"] Khashoggi Factor [19659004] Saudi sources in the oil industry have indicated that they want prices to remain above $ 70 a barrel and the Saudi minister of oil Energy, Khalid al Falih, said that this month, the global supply of oil could exceed the demand for more than a million bpd next year, which would require 39, OPEC to take action. He announced earlier this month that Saudi oil giant Saudi Aramco would deliver 0.5 million bpd less crude in December than in November, as demand from its customers is lower.
Saudi oil production decisions may complicate the crisis surrounding the murder of journalist Jamal Khashoggi at the Riyadh consulate in Istanbul last month.
Trump supports Saudi Crown Prince Mohammed bin Salman despite calls from many US politicians to impose stiff sanctions on Riyadh. Prince Mohammed is the ultimate Saudi policy maker in the oil sector and Saudi observers have said the prince would try to avoid a confrontation with Washington, including oil prices.
The United States is not a member of OPEC and does not participate in the reduction of production. Trump has repeatedly called on OPEC to abstain from cuts and has been pressuring the group in recent days.
On Sunday, Trump is thanked for the drop in oil prices and compared it to a significant tax cut for the US economy. 19659004] "So much so that oil prices are falling (thanks, President T)," said Trump, referring to himself.
Last week, Trump tweeted: "Oil prices are falling … Thank you, Saudi Arabia, but let's go lower."
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