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Saudi Arabia reduces oil exports



Saudi energy minister Haled Al-Faleh said today that his country will reduce oil production, while falling prices will cause fear of the collapse of the market as 2014.

"The export of oil from the (Saudi) Kingdom in December will be 500,000 barrels per day lower than in November", Faleh told journalists in Abu Dhabi at a meeting of the oil producer organization (OPEC) and other countries.

On the other hand, he said that there is still no "consensus" between the main producer countries on the total production decline.

There should be no joint decision in Abu Dhabi, several ministers said, but OPEK should consider December in Vienna.

"It's too early to talk about a certain action," Haled al-Faleh told a question about a possible reduction in production to prevent a fall in prices.

His Russian counterpart Alexander Novak said it was necessary "to analyze the situation on the market in detail, to analyze the implementation of the agreements (which are in force)" and warned that before "decided what to do, cooperation for market stabilization has been continued ".

Between the increase in production in some large producing countries and the fear of falling demand, oil prices fell almost 20 percent in almost a month, after having peaked at the start of the highest level in four years.

Brenta's crude oil price fell below $ 70 on Friday for the first time since Friday, and the price of a barrel of US oil is below $ 60, the ninth month with falling prices.

Despite signs of a slowdown in demand, Saudi Arabia, Russia, Kuwait and Iraq have recently increased crude oil production and the Sinai oil shale oil market.

The recent fall in oil prices is mainly due to a decline in demand from China, the largest importer, whose economic growth is slowing, said Kailin Birch, analysts at the Economist Intelligence Unit.

On the other hand, the US sanctions against Iran, which threatened to reduce global supply and raise prices, passed with fewer consequences than expected.

From the point of view of the US, Moscow and Riyadh sanctions, two of the three largest producers in June amended their production restriction agreement to extract more oil and offset the decline in Iranian exports.

Riyadh increased production from 9.9 million barrels per day in May to 10.7 million in October, said the Saudi energy minister.


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