• Saudi Arabia criticizes other oil producers for not adhering to agreed production cuts

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      Patrick Lavery

      Combustion Industry News Editor

Saudi Arabia’s energy minister, Prince Abdulaziz bin Salman, has criticized other (unnamed) members of the Opec cartel in overproducing oil in contravention of the group’s mutual agreement, along with Russia, to curb oil production to encourage a rise in oil prices. Saying that “false promises not only discredit those who make them, but also weaken our collective goal,” the prince went on to say that “being transparent with the market and with [Opec and its partners] about production and compliance always pays off.” The remarks were made at a meeting of energy ministers in the run-up to a wider virtual meeting of officials of Opec and its partners, during which the future of production cuts will be discussed. Starting in May this year, the group was to reduce output by 9.7 million barrels per day, which has now eased to 7.7 million b/d, and the cuts have helped to raise the oil price from US$20/barrel to US$40/barrel, even though such prices will not satisfy most producers. The International Energy Agency has identified the United Arab Emirates, Iraq and Nigeria as having overproduced in recent months.