Saudi Arabia sows record amounts of oil under increasing pressure from Trump

Saudi Arabia's gross output hit a record high in November as US President Donald Trump lobbied the kingdom for it to refrain from cutting production at the meeting. OPEC next week, announced Monday an oil exporter. .

Crude oil production from Saudi Arabia was between 11.1 and 11.3 million bpd in November, but average production will not be clear until the end of the month, the source said.

These levels represent about 0.5 million barrels per day – or 0.5% of global demand – compared to October, and more than one million barrels per day compared to the level of production recorded in early 2018, when Riyadh had reduced its production with other members of OPEC.

Saudi Arabia agreed to increase supplies in June following calls from customers, including the United States and India, to help lower oil prices and supply shortages. the imposition of sanctions on Iran by Washington.

But the decision was counterproductive for Riyadh after Washington imposed less than expected sanctions on Tehran. This raised fears of oversupply and prices fell below $ 60 a barrel on Friday after reaching $ 85 a barrel in October.

Saudi Energy Minister Khalid al-Faleh said this month that the global supply of oil could exceed demand by more than a million bpd next year , which would require action on the part of OPEC.

OPEC should consider an agreement to cut production at its meeting next week, but Trump called on Saudi Arabia to refrain from making cuts.

Trump is thanked for the drop in oil prices and compared it to a significant reduction in the taxes of the US economy.

"It's very cool that oil prices are falling (thanks, President T.)," Trump said on Twitter, referring to himself.

Last week, the US president said on Twitter: "Oil prices are falling … Thanks to Saudi Arabia, but to fall further."

Earlier this month, Al-Falih announced that Saudi oil giant Saudi Aramco would deliver 1.5 million bpd of crude oil in December compared with November, as demand fell.

Saudi Arabia's decisions on oil production could complicate the killing of journalist Jamal Khashoggi at the Saudi Arabian consulate in Istanbul last month.

Trump has supported Saudi Crown Prince Mohammed bin Salman despite calls by many US politicians to impose stiff sanctions on Riyadh. Prince Mohammed is the last word on oil policy, and observers say the Saudi Crown Prince will seek to avoid confrontation with Washington, including on the level of oil prices.