Home Today's Paper Most Popular Video Gallery Photo Gallery
Subscription Blog Signin Register
Logo
Sunday, July 1, 2018 11:18:01 PM
Follow Us On: Facebook Twitter Twitter Twitter Twitter

Trump says Saudi King agrees to ramp up oil production

photo by AP photo

Donald Trump in a tweet wrote that Saudi Arabia had definitely agreed to produce more oil.

By
02nd-Jul-2018       
Comments
Share your thought
Post a comment »
Read all () »

AFP, Washington :
US President Donald Trump said on Saturday that Saudi Arabia's King Salman had agreed to his request to ramp up oil production, a week after OPEC already announced an output rise.
The official Saudi Press Agency confirmed a phone call between the two leaders about oil, but mentioned no specifics.
"Just spoke to King Salman of Saudi Arabia and explained to him that, because of the turmoil & dysfunction in Iran and Venezuela, I am asking that Saudi Arabia increase oil production, maybe up to 2,000,000 barrels, to make up the difference," Trump announced in an early morning tweet.
Later, the White House released a more cautious statement saying "the two leaders reaffirmed their dedication to a healthy and stable global energy market for the benefit of all nations."
"The two leaders agreed that balancing the global oil market is essential to ensure access to reliable and affordable energy to people everywhere," it said.
"In response to the president's assessment of a deficit in the oil market, King Salman affirmed that the kingdom maintains a two million barrel per day spare capacity, which it will prudently use if and when necessary to ensure market balance and stability, and in coordination with its producer partners, to respond to any eventuality."
The Saudi Press Agency said Trump had called Salman and the two highlighted "the necessity of doing efforts in order to preserve the stability of the oil market and the global economy growth."
They also discussed "efforts of the producing countries to cover any possible shortage in supplies," the agency said in its brief report.
Saudi Arabia is the world's biggest oil exporter and has usually kept at least 1.5 million to two million barrels per day of spare capacity, according to the United States Energy Information Administration.
·But oil officials cited by The Wall Street Journal said it is debatable whether the kingdom would be able to raise output by the amount Trump suggested.
"This is just simply not doable," said one senior Saudi oil official cited by the Journal.
Trump has repeatedly lashed out at OPEC on Twitter in recent months, piling pressure on Riyadh, a major ally, to boost output as he hopes for lower pump prices before midterm congressional elections in November.
His latest comments come a week after ministers from the Organization of the Petroleum Exporting Countries-of which Saudi Arabia is the major member-agreed to raise output from July.
Non-OPEC member Russia on June 23 also backed the effort, capping a week of tense diplomacy for the grouping that averted a damaging rift between arch foes Iran and Saudi Arabia. The ministers announced they would ramp up oil production by around one million barrels a day from July.
"I think it will contribute significantly to meet the extra demand that we see coming in the second half," Saudi Energy Minister Khalid al-Faleh told reporters at the time.
·    A face-saving deal -

The talks centered on whether to amend an 18-month-old supply-cut deal between OPEC members and allied countries, including Russia, that has cleared a global oil glut and lifted crude prices.
The unprecedented supply-cut pact has lifted crude prices from below $30 a barrel in early 2016 to around $70.
Saudi Arabia, backed by non-member Russia, had argued strongly in favor of increasing production as grumbles in major consumer countries like the United States, India and China have grown about higher prices.
Iran opposed any changes to the original production-cut deal at a time when its oil industry is facing renewed sanctions over Trump's decision to quit the international nuclear deal with Tehran.
In the end, both sides were able to save face.
The current production curb pact calls for participating countries to trim output by 1.8 million barrels a day.
But production constraints and geopolitical factors have seen several nations exceed their restriction quotas, keeping about 2.8 million barrels off the market, according to OPEC.
By agreeing to collectively raise output by a million barrels, member countries are simply committing to comply fully with the deal struck in late 2016.
Iran has accused Trump of trying to politicize OPEC and said it was US sanctions on Iran and Venezuela that helped push up prices.
Saudi Arabia was producing around 10 million barrels of crude a day in May, according to OPEC.

Tariff
Add Rate

News Archive

Inside The New Nation

Football »

People gather to participate in the Pride Parade Saturday June 30, 2018, in Helsinki, Finland. Some thousands participated in the parade celebrating differance.


Football »

Minnesota United midfielder Collin Martin, who came out publicly as gay earlier in the day, waves to fans after taking part in a halftime presentation during the team's MLS soccer match against FC Dallas on Friday in Minneapolis.


International »

N Korea continues to fuel nuclear arsenal, feels US intelligence


Reuters, Washington: U.S. intelligence agencies believe North Korea has increased production of fuel for nuclear weapons at multiple secret sites in recent months and may try to hide these while seeking concessions in nuclear talks with the United States, NBC News quoted U.S. officials as saying.In a report on Friday, ...

International »

Mattis in Asia, fixing Trump-rattled relationships one by one


US Defense Secretary Jim Mattis spent four days in East Asia trying to keep on the rails key relationships-two friendly, one adversarial-that his boss President Donald Trump has thrown into confusion.It's now a familiar role for the Pentagon chief, not just in Asia but across Europe and the Middle East. ...

Editorial »

No authority to stop massive pollution of Halda river and save fish resources


THE Halda River Protection Committee has held some local industrial units responsible for the massive pollution in the river that led to the death of at least 18 species of fish very recently. The factories set up in the area stretching from Kulgao to Oxygen were releasing waste into the ...

City »

BNP Standing Committee Member Barrister Moudud Ahmed, among others, at a rally organised by Jatiya Nagorik Adhikar Mancha at the Jatiya Press Club on Saturday with a call to stop dirty politics of the government on BNP Chairperson Begum Khaleda Zia's bail and treatment.


Entertainment »

`Sultan` to be release on July 6 in BD


Entertainment Desk :Bangladeshi actor Bidya Sinha Saha Mim and Indian actor Jeet starrer 'Sultan: The Saviour' will hit the theatres of Bangladesh on July 6.The film was slated to release this Eid at Bangladesh and India simaltenouously but a recent High Court ruling that banned that release of imported or ...

Sports »

Miami-based model Maria Salaues, girlfriend of Manchester United midfielder Paul Pogba of France, enjoying the World Cup match on Monday.


.

Editorial »

Myanmar`s stance on Rohingyas further worsens


A ROHINGYA child in no-man's land was wounded when Border Guard Police (BGP) of Myanmar once again opened fire from its territory along the Tambru border in Bandarban's Naikhyangchhari upazila on Thursday. Now it has become difficult to gauge what is Myanmar's true intention about the persecuted and forcibly driven ...

City »

Former Adviser to the Caretaker Government Sultana Kamal speaking at the unveiling ceremony of 'Report on Road Accidents during Eid Journey-2018' organised by 'Bangladesh Jatri Kalyan Samity' in DRU auditorium on Friday.


.

International »

Five dead, 3 injured as gunman opens fire at US newspaper office


Reuters, Annapolis :A gunman killed at least five people and "gravely injured" at least three others when he sprayed a newsroom in the Maryland capital of Annapolis with gunfire on Thursday, authorities said.The suspect was arrested soon after the attack at the Capital Gazette's office, without exchanging gunfire with police. ...

Entertainment »

The audience in the South is as big as Bollywood: Kiara Advani


Actor Kiara Advani has been making headlines for her bold and feisty performance in the short film directed by Karan Johar in Lust Stories. Her self-pleasuring sequence in the film is particularly grabbing eyeballs. The actor says that experimenting with different mediums and regional cinema is her next plan of ...

Editorial »

Qatar seeks justice in ICJ: A move that ignores US-backed Saudi dominance on the Gulf nation


THE International Court of Justice (ICJ) in The Hague has begun hearing a lawsuit by Qatar against the United Arab Emirates (UAE), over a year long blockade against the Gulf nation. On Wednesday, lawyers for Qatar presented their case in front of the ICJ, while representatives of the UAE will ...

Football »

Izabel was photographed blowing a kiss as she enjoyed the game.


International »

House rejects Republican immigration bill, ignoring Trump


AP, Washington  :The Republican-led House resoundingly rejected a far-ranging immigration bill Wednesday despite an eleventh-hour endorsement by President Donald Trump, as the gulf between the GOP's moderate and conservative wings proved too deep for leaders to avert an awkward election-year display of division.The bill was killed 301-121, with nearly half ...

 
Items that you save may be read at any time on your computer, iPad, iPhone or Android devices.
 
Are you new to our website? Do you have already an account at our website?
Create An Account Log in here
Email this news to a friend or like someone
Email:
Write a comment to this news