• 5 minutes Oil prices forecast
  • 8 minutes Nuclear Power Can Be Green – But At A Price
  • 11 minutes Projection Of Experts: Oil Prices Expected To Stay Anchored Around $65-70 Through 2023
  • 16 minutes Europe Slipping into Recession?
  • 16 mins *Happy Dance* ... U.S. Shale Oil Slowdown
  • 1 hour Emissions from wear of brakes and tyres likely to be higher in supposedly clean vehicles, experts warn
  • 15 hours UK, Stay in EU, Says Tusk
  • 3 hours Socialists want to exorcise the O&G demon by 2030
  • 8 hours How Is Greenland Dealing With Climate Change?
  • 5 hours Is Natural Gas Renewable? I say yes it is.
  • 8 hours Germany: Russia Can Save INF If It Stops Violating The Treaty
  • 3 days Connection Between Climate Rules And German's No-Limit Autobahns? Strange, But It Exists
  • 2 days Maritime Act of 2020 and pending carbon tax effects
  • 4 hours Blame Oil Price or EVs for Car Market Crash? Auto Recession Has Started
  • 28 mins Algorithms Taking Over Oil Fields
  • 14 hours Saudi Private Jet Industry Stalls After Corruption Crackdown
Alt Text

Oil May Never Return To The Triple-Digits

Fewer and fewer energy professionals…

Irina Slav

Irina Slav

Irina is a writer for the U.S.-based Divergente LLC consulting firm with over a decade of experience writing on the oil and gas industry.

More Info

Trending Discussions

Saudi Oil Income Could Reach $161B This Year

Saudi Arabia could earn US$161 billion (605 billion riyals) this year from crude oil sales, versus a budgeted US$131 billion (492 billion riyals), local financial services provider Al Rajhi Capital said in a report published this weekend.

The company noted improvements in the economic growth of the Kingdom on the back of higher oil prices, but also forecast growth in non-oil revenues that will contribute to a further narrowing of the fiscal deficit, which Al Rajhi sees at around US$22 billion (86 billion riyals), 58 percent lower than the budgeted deficit.

Over the first half of the year, Saudi Arabia saw a substantial increase in both oil and non-oil revenues, by 40 percent and 49 percent, respectively. While the cost of living continued to rise, it did so at a more moderate pace. The Kingdom’s sovereign investment fund recently took out its first commercial loan, of US$11 billion, that will go towards financing the Vision 2030 economic reform plan.

The IMF recently commended Saudi Arabia for its reform drive, but cautioned that it needs to rein in spending as the implications of a future oil price drop would be more serious if spending continues at the current rate. Related:  Can We Expect An Oil Price Spike In November?

In June, Saudi Arabia and the rest of OPEC agreed to start increasing oil production to stabilize fast-rising prices that began to weigh on demand. Despite its pledge to boost crude oil supply to offset supply disruptions, Saudi Arabia’s oil production in July slipped by 52,800 bpd from June to average 10.387 million bpd, according to the secondary sources in OPEC’s closely watched Monthly Oil Market Report.

In August, however, the Kingdom pumped a reported 10.424 million bpd, some 136,000 bpd more than Saudi Arabia’s self-reported daily production rate for July. A Reuters survey today suggested that OPEC’s overall production in August rose by 220,000 bpd to a 2018 high, which pressured prices. While this is hardly the oil price dive that the IMF has cautioned the Saudis against, it is the latest reminder of how volatile oil prices continue to be. This volatility should be taken into account in all spending plans in the Kingdom.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Back to homepage

Trending Discussions


Leave a comment
  • Frank on September 03 2018 said:
    Amazing how the numbers look once you kill off a few cousins, imprison the richest business owners and demand 40% of their wealth be handed over to the royal family.

    I could have sworn non-oil GDP growth was something like -11% last summer/fall, now "revenue" is magically up 49%. Hooray!

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News