• 3 minutes Nucelar Deal Is Dead? Iran Distances Itself Further From ND, Alarming Russia And France
  • 5 minutes Don Jr. Tweets name Ukraine Whistleblower, Eric Ciaramella. Worked for CIA during Obama Administration, Hold over to Trump National Security Counsel under Gen McCallister, more . . . .
  • 9 minutes Shale pioneer Chesepeak will file bankruptcy soon. FINALLY ! The consolidation begins
  • 12 minutes China's Blueprint For Global Power
  • 1 hour Pioneer's Sheffield in Doghouse. Oil upset his bragging about Shale hurt prices. Now on campaign to lower expectations, prop up price.
  • 3 mins EU has already lost the Trump vs. EU Trade War
  • 17 hours Tesla Launches Faster Third Generation Supercharger
  • 28 mins China's Renewables Boom Hits the Wall
  • 17 mins ''Err ... but Trump ...?'' #wall
  • 6 hours Passerby doused with flammable liquid and set on fire by peaceful protesters
  • 7 hours Who writes this stuff? "Crude Prices Swing Between Gains, Losses"
  • 7 hours Crazy Stories From Round The World
  • 2 days Climate Change Consensus Shifts in Wind, But Gas Is Still the Right Move
  • 18 hours Haaretz article series _ Saudi Arabia: A Kingdom in Turmoil | Part 1 - Oil Empire
Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Putin: Saudis Shouldn't Break Output Cut Deal

Russia’s president Vladimir Putin hopes Saudi Arabia does not begin to reverse the production cuts agreed in December to fill the gap of Iranian oil on global markets.

Responding to a question on the sidelines of an investment event in Beijing, Putin said “I hope this does not happen in the end - but theoretically speaking, we have agreements under OPEC+,” as quoted by Reuters.

“We have not received any information from our Saudi partners or anyone else, any OPEC members, indicating they are ready to quit the agreements,” the Russian president added.

Saudi Arabia said it was ready to start producing more oil should it be needed after the U.S. announced it would not be extending any Iranian oil import waivers after their May 1 expiry date. However, Khalid al-Falih also said at the time Riyadh will not rush into reversing the cuts, and will first wait and see how the market reacts to the end of waivers.

So far, the market reaction has been a little confusing. After an initial jump that was only to be expected, prices began sliding back down, and even a sizeable decline in drilling rigs in the U.S. two weeks ago failed to arrest the slide. Brent crude, after briefly touching US$75 a barrel, is now back at around US$71 and West Texas Intermediate has fallen from the US$65 highs it hit earlier this month.

The preparedness of Saudi Arabia and the UAE to step in to compensate for lost Iranian supply is certainly one reason for the price dynamics. Another continues to be rising production in the U.S., and a third could be the certainty that Iran will still find a way to ship its oil abroad despite the end of the sanction waivers.

The sentiment was last echoed by none other than Rosneft, Russia’s top oil producer. “No, we do not see such threats,” CEO Igor Sechin told Reuters in response to a question about whether the “maximum pressure” applied by Washington on Iran’s oil industry could result in a global oil deficit.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage



Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play