Saudi Arabia seeks to further reduce oil stockpiles

AFP, RIYADH: Saudi Arabia said yesterday it will further trim oil production and exports next month to reduce

excess stockpiles that have weighed on crude prices, as concerns mount over US over supply.

Saudi Aramco’s crude output in March will be 100,000 barrels per day (bpd) below its February level while exports will be kept below seven million bpd, the energy ministry said.

“Saudi Arabia remains focused on working down excess oil inventories,” a ministry spokesman said.

“Market volatility is a common concern for producers and consumers, and the kingdom is committed to mitigating this volatility and moderating its negative impacts.”

Saudi Arabia, the world’s top oil exporter, last month called for extending cooperation between OPEC and non-OPEC producers beyond 2018, after a deal to throttle output succeeded in shoring up prices.

Oil prices fell from above $110 per barrel in 2014 to around $30 at the start of 2016. But the market has seen a turnaround since and oil prices are now close to $60.

However, oversupply remains a concern for the market.

 

Saudi Arabia seeks to further reduce oil stockpiles

AFP, RIYADH: Saudi Arabia said yesterday it will further trim oil production and exports next month to reduce excess stockpiles that have weighed on crude prices, as concerns mount over US over supply. Saudi Aramcos crude output in March will be 100,000 barrels per day (bpd) below its February level while exports will be kept below seven million bpd, the energy ministry said. Saudi Arabia remains focused on working down excess oil inventories, a ministry spokesman said. Market volatility is a common concern for producers and consumers, and the kingdom is committed to mitigating this volatility and moderating its negative impacts. Saudi Arabia, the worlds top oil exporter, last month called for extending cooperation between OPEC and non-OPEC producers beyond 2018, after a deal to throttle output succeeded in shoring up prices. Oil prices fell from above $110 per barrel in 2014 to around $30 at the start of 2016. But the market has seen a turnaround since and oil prices are now close to $60. However, oversupply remains a concern for the market.