Saudi Arabia says it’s done all it can for the global oil market

SAUDI Arabia’s foreign minister said there’s nothing more the kingdom can do to tame oil markets, implying that the world’s biggest crude exporter has no plan to accelerate its gradual production increases.

“There is enough energy in the market,” said Prince Faisal bin Farhan, speaking on a panel at the World Economic Forum in Davos, Switzerland. “We have to be sure that while we transition to a renewable future, there is enough energy in the market. The kingdom has done what it can.”

Prince Faisal was responding to a question about what the US, which has put pressure on the Saudis and other members of Opec+ to pump faster, could offer Riyadh in return for more crude. His comments reiterated those of Saudi Energy Minister Abdulaziz bin Salman, who said in an interview this month that a refining crunch was to blame for soaring fuel prices.

“It’s much more complex than just bringing barrels to the market,” Prince Faisal said. “Our assessment is that actually oil supply right now is relatively in balance.”

Oil prices have soared almost 70 per cent in the past year to almost US$115 a barrel, first as demand rebounded from the coronavirus pandemic and then after Russia invaded Ukraine. BLOOMBERG