Saudi Oil Chief: OPEC's in 'Produce as Much as You Can' Mode

Khashoggi’s death exposes ‘friends’

Saudi Energy Minister Khalid Al-Falih said that the world's biggest oil exporter will meet any supply shortfall resulting from Iranian sanctions, and that OPEC and its allies are in "produce as much as you can mode".

The kingdom, which produces more than a tenth of global supplies, had vowed on Monday not to withhold its output as a political weapon amid the worldwide backlash over the murder of journalist Jamal Khashoggi.

"Tariff concerns, renewed weakening in Chinese equities, emerging market worries and the ongoing investigations of the Saudi participation in the Khashoggi murder are combining to force major liquidation out of the equity space that is easily flowing into the oil complex", said Jim Ritterbusch, president of Ritterbusch and Associates in a note.

India-the world's third-largest oil importer and the second-biggest oil customer of Iran-is unlikely to see a long-term impact on its oil import bill from the US sanctions on Iran's oil coming into force in less than two weeks, Frank-Jürgen Richter, chairman of independent think tank Horasis, told the Times of India. "Hopefully more countries will join", he said.

While Saudi Arabia is intent on making up for lost barrels, the outlook for demand next year is deteriorating. Slowly but surely, geopolitical power is starting to ebb away from Saudi Arabia.

Saudi Arabia's energy minister has used public comments over the past week to tone down the kingdom's veiled threat to use oil as a political weapon to retaliate against possible sanctions related to the Khashoggi killing.

Concerns about the health of the global economy, leading to the equities selloff, are seeping into the oil market.

The minister reiterated that the market is unable to find a replacement for Iran's oil, urging Trump to abandon his plan to impose sanctions on the country.

Oil prices spiked on the move, as they did later in 1979 because of the Iranian revolution.

USA light crude dropped $3.03, or 4.4 percent, to $66.33 a barrel, after earlier hitting a two-month low at $65.74.

"It will become an open-ended agreement to continue to monitor and work together to stabilize the markets. So we have to use oil reserves".

Saudi's foreign minister Adel al-Jubeir said to United States broadcaster Fox: "This was an operation that was a rogue operation".

"Politics are coming into the picture and maybe this is what (the Saudis) will do, but as far as next year's supply/demand balance is concerned, it's not justified for them to increase production", PVM Oil Associates strategist Tamas Varga said.

U.S. West Texas Intermediate and international-benchmark Brent crude oil futures are trading higher early Monday.

Related News:



Most liked

Purdue throttles No. 2 Ohio State to earn shocking upset
So another week of rest could do wonders for the wide receiver as next week we could get a more serious update on Black's return. Haskins connected with Terry McLaurin on a 34-yard touchdown pass with four minutes to play for the Buckeyes' other touchdown.

EPL: Mourinho breaks silence on rumoured return to Real Madrid
Before Ronaldo left, they four Champions Leagues together, three La Liga titles and the Copa del Rey on two occasions. I'm going to play against one of the biggest teams in the world and that's what motivates me and brings me here.

Ronaldo not up front, Dybala returns
I told the players we have to keep that happiness, pride and confidence of the way we played. Let us know in the comments. "Everybody makes mistakes, I made a lot of mistakes".

EU Commission slams Italy's budget plan as Euro falls
The 5-Star movement opposes such a move because it could benefit organized crime or tax cheats hiding money aboard. Moscovici called the difference "unprecedented".

Top Republican senator believes Saudi Prince Salman responsible for Khashoggi's death
The prominent journalist had written columns critical of the Saudi government while living in self-imposed exile in the US. The UK Foreign Office described it as "a bad act" and said the people behind the killing "must be held to account".

Bolt Offered Contract offer from Maltese Champions Valletta FC
On October 13, Valletta's ownership group Sanban Investment Group, based in Abu Dhabi, offered 32-year-old Bolt a two-year deal. "We were talking about how good it is for Bolt and the Mariners at news he was getting offers from European clubs", he said.

Turkey Says Will "Reveal Whatever Happened" In Saudi Journalist Death
Saudi Arabia finally admitted early Saturday that Khashoggi had died inside the consulate in what it described as a "brawl". Not so, US Republican Senator, Lindsey Graham, who wrote: "to say that I am skeptical of the new Saudi narrative about Mr.

Brewers vs. Dodgers, NLCS Game 6
This placed LA in a division series matchup against the NL East champion Atlanta Braves, whom the Dodgers defeated in four games. The NL Championship Series moves from Los Angeles to Milwaukee tonight for Game 6, with the Dodgers leading three games to two.

Rihanna Reportedly Turned Down Super Bowl in Support of Colin Kaepernick
The former San Francisco 49ers quarterback has not played since the 2016 season as a result of the controversy. It turns out that she refused to climb the stage at the Super Bowl because she 'supports Colin Kaepernick '.

Melania Trump’s plane forced to turn back after smoke incident
She was joined on her visit to Thomas Jefferson University Hospital by Health and Human Services Secretary Alex Azar . The First Lady's visit is part of her " Be Best " campaign, which focuses on major issues affecting children.

Social media makes a mockery of Trump painting
Although Thomas has painted many political figures in the past, it's his first painting of Trump , according to the Daily Beast . In both paintings, there is a woman in the background who seems to be walking towards the table of men.

What Bill Belichick told Patriots in locker room after win over Chiefs
We are looking at a rookie quarterback who goes out in the first half of the game throws two picks, and did not blink at all. Hill, who caught seven passes for 142 yards and three touchdowns, said he was unbothered by the chilly reception.

Can you help prevent breast cancer? || Ayesha Shafiq
It is a great opportunity to dedicate some time to reviewing breast health in general and breast cancer screening in particular. Worldwide, the statistics are similar - in 2018 alone, there were over 2 million new cases of breast cancer.

Georgia girl killed during hurricane was spending rare night away from home
A Panhandle man was killed by a tree that toppled on a home, Gadsden County Sheriff's Office spokeswoman Anglie Hightower said. Linda Albrecht, a councilwoman in Mexico Beach, spoke to the network about leaving her home with only a few essential objects.

Online Backlash Mars Facebook Portal Smart Speaker Launch with Spotify, Pandora, iHeart
Callers always stay in frame, as the device's smart camera (with an 8x zoom) constantly adjusts to your motion. The Smart Camera and Smart Sound will use AI technology that runs locally on Portal , not on Facebook servers.