DAMMAM – Saudi Aramco To Raise Oil Output. Saudi Aramco has announced to supply a record 12.3 million barrels a day of crude oil from next month. This move that will further escalate the ongoing price war between Saudi Arabia and Russia.
According to details, Aramco announced on Tuesday at the Saudi Stock Exchange that it will provide its customers with 12.3 million barrels per day in April. This is an increase of 300 thousand barrels per day over the Company’s maximum sustained capacity (MSC) of 12 MMBD.
This development is likely to plunge oil prices further. This comes days after Saudi Arabia launched an all-out oil war with the biggest cut in its prices in the past 20 years. After OPEC and its allies failed to clinch a deal to reduce output.
The statement read as follows. “The Company has agreed with its customers to provide them with such volumes starting 1 April 2020. The Company expects that this will have a positive, long-term financial effect.” Saudi Aramco To Raise Oil Output
The Russian Energy Ministry has called a meeting with oil companies on Wednesday. This is to discuss future cooperation with the Organization of the Petroleum Exporting Countries. “We plan to discuss whether to return to (cooperation with) OPEC or not,” one of the sources said. The Energy Ministry did not immediately reply to a Reuters request for comment.