Saudi Arabia continues to signal to the market that it is not backing
down from the oil price war despite the crumbling oil prices amid
coronavirus-hit demand and promises of huge extra supply next month. Oil
giant Saudi Aramco will proceed with the reduction of its refinery
rates in Saudi Arabia in April and May in order to free up more crude
oil for exports, an official at the company told
Reuters on Thursday. Saudi Arabia will continue to supply a
record 12.3 million barrels per day (bpd) to the oil market in the coming months, as per order from the energy ministry, the official Saudi Press Agency
reported on Wednesday. The Kingdom is intent on unleashing growing crude oil volumes
on the market, aiming to significantly boost its crude oil exports to
a record-breaking more than 10 million bpd in May. The
Saudis, who launched an all-out price war for market share with Russia
after Moscow refused to back deeper cuts, will not only boost April
exports from the current 7 million bpd, but will also grow exports in
May by another 250,000 bpd from April. After the collapse of the OPEC+ production cut deal, OPEC’s de facto leader and the world’s top oil exporter, Saudi Arabia,
promised to flood the market
with crude oil as of April 1, sending oil prices into a tailspin and
weighing heavily on the market which is being battered by an
unprecedented demand shock amid the coronavirus pandemic...
MORE
No comments:
Post a Comment