empty
 
 
Saudi Arabia threatens new oil-price war with OPEC+ members
15-07-2020 14:10
Saudi Arabia threatens new oil-price war with OPEC+ members
Saudi Arabia threatens new oil-price war with OPEC+ members

The Saudis are encouraged by Russia’s defeat and the US partial surrender in the recent oil war.

After such success, Saudi energy minister Prince Abdulaziz bin Salman has issued the ultimatum as he asked Angola and Nigeria to submit detailed pledges to carry extra oil-production curbs. Otherwise, the Kingdom threatens to swamp the market with cheap oil. The main reason that could lead to a new oil-price war is a failure to fulfill the obligations of the OPEC+ deal. Unlike other countries, Saudi Arabia always complies with its obligations. Thus, according to the data provided by the International Energy Agency, obligations of the latest OPEC+ deal on oil output reduction in May were honored only by 89%. The Saudis met 100% of their obligations whereas Russia fulfilled just 97%.  Other members of the OPEC+ deal managed to carry out only 86% of their obligations. Thus, such an irresponsible attitude to the agreement led to the ultimatum issued to Angola and Nigeria.

The global oil price slump was stopped only due to the OPEC+ deal. The document was signed by 23 countries that agreed to lower the global oil output by 9.7 million barrels a day in May and June.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.

  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST
  • Chancy Deposit
    Deposit your account with $3,000 and get $8000 more!
    In March we raffle $8000 within the Chancy Deposit campaign!
    Get a chance to win by depositing $3,000 to a trading account. Having fulfilled this condition, you become a campaign participant.
    JOIN CONTEST
  • Trade Wise, Win Device
    Top up your account with at least $500, sign up for the contest, and get a chance to win mobile devices.
    JOIN CONTEST
  • 100% Bonus
    Your unique opportunity to get a 100% bonus on your deposit
    GET BONUS
  • 55% Bonus
    Apply for a 55% bonus on your every deposit
    GET BONUS
  • 30% Bonus
    Receive a 30% bonus every time you top up your account
    GET BONUS
Can't speak right now?
Ask your question in the chat.
Widget callback