Saudi Energy Minister: Coordination with OPEC+ Boosts Market Stability

The Saudi Minister of Energy, Prince Abdulaziz bin Salman (Asharq Al-Awsat)
The Saudi Minister of Energy, Prince Abdulaziz bin Salman (Asharq Al-Awsat)
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Saudi Energy Minister: Coordination with OPEC+ Boosts Market Stability

The Saudi Minister of Energy, Prince Abdulaziz bin Salman (Asharq Al-Awsat)
The Saudi Minister of Energy, Prince Abdulaziz bin Salman (Asharq Al-Awsat)

The Saudi Minister of Energy, Prince Abdulaziz bin Salman, has said that coordination with OPEC+ countries is the "cornerstone" of Saudi efforts to enhance the stability of global oil markets and maintain their balance and security.

Prince Abdulaziz affirmed that Saudi Arabia's interest in cooperation with Arab countries in energy is an integral part of its interest in boosting relations with them.

The official told Saudi Press Agency (SPA) Thursday that the cooperation is embodied in coordination for joint Arab action in numerous projects, programs, and initiatives.

He said that his country had signed several memorandums of understanding (MoU) with Arab countries in the energy sector to enhance cooperation in electricity, renewable energy, clean hydrogen, petroleum and gas, petrochemicals, and other energy-related fields.

The minister added that there are also electrical interconnection projects between the Kingdom and Arab countries, connecting Saudi Arabia to all the Gulf countries, and direct interconnection projects being implemented between the Kingdom and Iraq, Jordan, and Egypt.

Prince Abdulaziz noted that these projects aim to enhance the security and reliability of interconnected national networks and increase their ability to absorb the entry of renewable energy projects.

They also help create a regional commercial market for the exchange and passing of electric energy to achieve optimal investment and operation of national generation stations, export renewable energy, and link the Middle East and North Africa networks.

He stressed that coordination and cooperation with Arab countries are continuous, whether through councils or joint committees in the various fields of energy and related issues.

It included exchanging expertise in electricity, renewable energy, efficient energy production and consumption, digital transformation in energy uses and its applications, climate change programs, and plans, including the circular carbon economy approach, emissions reduction techniques, and others.

He hoped the Arab League’s Jeddah summit would be a new opportunity to achieve more significant and practical cooperation, integration, and coordination between Arab countries in all fields.



Oil Prices Ease as Traders Assess US Tariffs and OPEC+ Output Boost

A drone view shows a portion of the crude oil tank farm in Midland, Texas, US June 11, 2025. REUTERS/Eli Hartman/File Photo
A drone view shows a portion of the crude oil tank farm in Midland, Texas, US June 11, 2025. REUTERS/Eli Hartman/File Photo
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Oil Prices Ease as Traders Assess US Tariffs and OPEC+ Output Boost

A drone view shows a portion of the crude oil tank farm in Midland, Texas, US June 11, 2025. REUTERS/Eli Hartman/File Photo
A drone view shows a portion of the crude oil tank farm in Midland, Texas, US June 11, 2025. REUTERS/Eli Hartman/File Photo

Oil prices retreated on Tuesday, having climbed almost 2% in the previous session, as investors assessed the latest developments on US tariffs and a higher than expected increase to OPEC+ output for August.

Brent crude futures fell 12 cents, or about 0.2%, to $69.46 a barrel by 1043 GMT. US West Texas Intermediate crude lost 25 cents, or about 0.4%, to $67.68.

US President Donald Trump began telling trade partners on Monday that sharply higher US tariffs will start on August 1, though he later said that deadline was not 100% firm.

Trump's tariffs have raised uncertainty across the market and concerns that they could have a negative effect on the global economy and oil demand.

While prices seem to be pressured by OPEC+ unwinding its voluntary output cuts, tightness in middle distillates and Houthi attacks on cargo ships are supporting the market, said Rystad analyst Janiv Shah.

On Saturday the OPEC+ group comprising the Organization of the Petroleum Exporting Countries and its allies agreed to raise production by 548,000 barrels per day (bpd) in August, exceeding the 411,000 bpd increases in the previous three months.

Investors were bullish heading into the peak summer demand period in the United States, however, with data from the US Commodity Futures Trading Commission on Monday showing money managers raised their net-long futures and options positions in crude oil contracts in the week to July 1.

Once oil demand declines seasonally, the increase in OPEC+ exports will hit the market, raising downside risks to prices, HSBC analysts said in a note.

Analysts at Commerzbank expect the price of Brent to fall to $65 a barrel on the emerging oversupply in the autumn months.

The decision by OPEC+ removes nearly all of the 2.2 million bpd of voluntary cuts made by the group since 2023.

The producer group is set to approve an increase of about 550,000 bpd for September when it meets on August 3, according sources told Reuters, which would unwind all of the cuts.