LIVE UPDATES
Saudi Arabia Energy Minister Prince Abdulaziz bin Salman has dismissed the recent drop in oil prices following their decision to gradually increase crude production starting in October.
The Minister stated that the market would eventually recognize their strategy as the right decision.
Prince Abdulaziz announced plans for Saudi Arabia to increase its oil production capacity to 12.3 million barrels per day within four years.
He stated that there would be a gradual increase in production capacity in 2025, 2026, and 2027, leading to a return to 12.3 million barrels per day production in 2028.
This announcement was made during a panel discussion at the St. Petersburg International Economic Forum in Russia, which was attended by OPEC and non-OPEC ministers.
Prince Abdulaziz emphasized the strong decisions made during the 37th OPEC and non-OPEC ministerial meeting, stating that OPEC+ could pause or reverse production increases if the market is not deemed strong enough.
He also disagreed with the bearish view of US bank Goldman Sachs on OPEC+'s deal. Additionally, OPEC+ members agreed to phase out voluntary cuts of 2.2 million barrels per day over a year beginning from October, while maintaining other cuts amounting to 3.66 million bpd until the end of the agreement.
