• 5 minutes 'No - Deal Brexit' vs 'Operation Fear' Globalist Pushback ... Impact to World Economies and Oil
  • 8 minutes China has *Already* Lost the Trade War. Meantime, the U.S. Might Sanction China’s Largest Oil Company
  • 12 minutes Will Uncle Sam Step Up and Cut Production
  • 3 hours China has invested btw $30 - $40 Billon in Canadian Oil Sands. Trump should put 10% tariffs on all Chinese oil exported into or thru U.S. in which Chinese companies have invested .
  • 43 mins Tit For Tat: China Strikes Back In Trade Dispute With U.S. With New Tariffs
  • 2 hours Trump vs. Xi Trade Battle, Running Commentary from Conservative Tree House
  • 14 hours Iran Is Winning Big In The Middle East
  • 3 mins It's Not the Job of the Government to Dictate Where Businesses Should Go
  • 11 hours Strong, the Strongest: Audi To Join Mercedes, BMW Development Alliance
  • 14 hours IS ANOTHER MIDDLE EAST WAR REQUIRED TO BOLSTER THE OIL PRICE
  • 1 day Trump cancels Denmark visit amid spat over sale of Greenland
  • 15 hours Not The Onion: Vivienne Westwood Says Greta Thunberg Should Run the World
  • 23 hours OPEC will consider all options. What options do they have ?
  • 12 hours Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
  • 8 hours Recession Jitters Are Rising. Is There Reason To Worry?
  • 14 hours Philadelphia Energy Solutions seeks to permanently shut oil refinery - sources
Alt Text

Texas Crude Is Fetching Better Prices

New midstream capacity allows more…

Tsvetana Paraskova

Tsvetana Paraskova

Tsvetana is a writer for Oilprice.com with over a decade of experience writing for news outlets such as iNVEZZ and SeeNews. 

More Info

Premium Content

Saudis, Russia Will Do “Whatever It Takes” To Bring Oil To Balance

OPEC and non-OPEC producers part of the production cut deal are committed to drawing the global crude oil inventories down to their five-year average, Saudi Energy Minister Khalid al-Falih said on Wednesday after meeting with his Russian counterpart Alexander Novak.

Today’s renewed commitment by Saudi Arabia and Russia to do “whatever it takes” failed to boost oil prices, as investors are weighing whether OPEC cuts could address concerns over stubbornly high supply.

As of 7:44am EDT on Wednesday, WTI Crude was down 2.56 percent at US$48.39, while Brent Crude traded down 2.76 percent at US$50.80.

The goal to cut oil inventories down to the industry’s five-year average will be reached in the very near future, al-Falih said in Moscow on Wednesday.

Our joint declaration with Russia concluded that while the rebalancing goal is on its way to being achieved, more needed to be done to draw inventories towards the five-year average,” al-Falih noted, as quoted by Reuters.

The Saudi minister went on to add:

“I attended a meeting of the Saudi and Russian leadership at the Kremlin during which both our nations renewed their determination to rebalance the global crude oil market in the interest of greater market stability and restated our commitment to doing whatever it takes to attain those goals.”

Both the Saudi and Russian ministers said that their cooperation in oil markets should continue after the OPEC/non-OPEC production cuts period expires in March 2018. Related: Europe Joins Race For Cheaper Batteries With New Gigafactory

The joint actions in cutting oil production have turned a new page in the cooperation between OPEC and non-OPEC countries, Novak said.

It was OPEC’s biggest producer Saudi Arabia and the leader of the non-OPEC nations Russia that proposed the cuts to be extended beyond June, until March next year, after seeing that inventories had not been falling as fast as expected. OPEC did indeed agree to extend the cuts for another nine months, but the oil market remained unimpressed with that decision.

Oil prices dropped as much as 5 percent last Thursday as investors had hoped for a stronger signal of commitment such as a longer period of extension or deeper cuts.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage


Leave a comment
  • spin on May 31 2017 said:
    They just come across as increasingly desperate. Over 100 EV's both full BEV and PHEV will be on the market by 2020, US shale can scale up rapidly and the US could stop exporting oil.

Leave a comment




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