S. Arabia extends 1Mln barrel daily oil production cut to end of 2023
3 Min Read
According to sources from the Saudi Energy Ministry, this decision will reduce the Arab country's daily oil production to around 9 million barrels in December.
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A photographer takes pictures of the Khurais oil field during a tour for journalists, 150 km east-northeast of Riyadh, Saudi Arabia, on June 28, 2021 (AP)
State-owned news agency SPA reported on Sunday that Saudi Arabia will reduce its daily oil production by an additional 1 million barrels until the end of 2023, as part of its voluntary output cuts.
According to sources from the Saudi Energy Ministry, this decision will reduce the Arab country's daily oil production to around 9 million barrels in December.
In addition to Riyadh's OPEC+ commitments, which involve reducing production until the end of 2024, this voluntary cut will be reviewed next month, the ministerial source added.
This comes as part of Saudi Arabia and Russia's voluntary oil production cuts which they vowed to pursue until the end of the year.
In a separate statement, Moscow announced that it is limiting exports by 300,000 barrels.
Some believe that this might be a strategy devised to propell former US President Donald Trump back in power. But the matter remains open to debate.
Gas prices are about to go up b/c the Saudis are cutting production for no reason other than to affect the 2024 election - because they love Trump.
— Spaceraham (@puwulitics) September 8, 2023
You're setting it up to appear as Biden's fault when it's more our countries fault for being dependent on other countries' oil.
+ pic.twitter.com/fK12v8t5m1
Read more: OPEC+ cuts start hitting in: Global oil prices surge, US drains SPR
In a related context, several news reports have over the past few days highlighted that US President Joe Biden's chances of securing another win in the upcoming elections are dimming amid divisions within his own party over the war on Gaza.
Former Virginia State Senator Richard Black told Sputnik on Saturday that Biden's neglect of the suffering of the Arabs and his apathy toward the genocide in Gaza may cost him his presidency.
On another note, the Federal Reserve said in its November policy meeting on Wednesday that it opted to keep US interest rates steady, maintaining the same stance as its September decision. This follows a series of 11 rate hikes made between March 2022 and July 2023, which were implemented to address inflation levels not observed in the past four decades.
Jerome Powell reported that the economy showed robust growth in the third quarter, with job gains remaining strong but moderating.
"Recent indicators suggest that economic activity expanded at a strong pace in the third quarter. Job gains have moderated since earlier in the year but remain strong, and the unemployment rate has remained low. Inflation remains elevated," Powell said in a statement.
