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Saudi Energy Minister: Ready to Raise or Lower Production at Any Time, Whatever Market Dictates 

Saudi Energy Minister Prince Abdulaziz bin Salman. (Reuters)
Saudi Energy Minister Prince Abdulaziz bin Salman. (Reuters)
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Saudi Energy Minister: Ready to Raise or Lower Production at Any Time, Whatever Market Dictates 

Saudi Energy Minister Prince Abdulaziz bin Salman. (Reuters)
Saudi Energy Minister Prince Abdulaziz bin Salman. (Reuters)

Saudi Minister of Energy Prince Abdulaziz bin Salman confirmed the Kingdom's readiness to raise or lower oil production at any time, according to market requirements.  

Speaking at the International Petroleum Technology Conference (IPTC), Prince Abdulaziz said the decision to halt Aramco's oil expansion plans was due to the transformation in energy.  

The Minister said the Kingdom had a "huge cushion" of spare oil capacity in case of significant disruptions to global supplies caused by conflict or natural disasters.  

He also confirmed that the OPEC+ alliance is ready to amend its oil production policy at any time, noting that OPEC's data on production is accurate.  

OPEC figures show oil demand reached a record of more than 102 million barrels per day (bpd) last year.  

"We are ready to tweak upward, downward, whatever the market necessity dictates," Prince Abdulaziz said, underlining that OPEC's mission is to be attentive to any market movement.  

He stressed that Saudi Arabia respects OPEC's decisions regarding oil stability in global markets, asserting the Kingdom's commitment to the organization's decisions.  

The Saudi Minister stressed that achieving energy security is the responsibility of all OPEC nations and oil-producing countries, not just Saudi Arabia's.  

Saudi Arabia has plenty of spare capacity to cushion the oil market.  

Last month, Saudi Arabia, the largest oil exporting country in the world, made a surprise announcement to reduce its oil expansion plans and indicated that it is targeting a maximum sustained production capacity of 12 million bpd.  

"I think we postponed this investment simply because ... we're transitioning," Prince Abdulaziz said, adding that Aramco has other investments in areas including oil, gas, petrochemicals, and renewables.  

The minister noted that the decision was not made hastily and was the product of a continuous review of market conditions.  

"We are in [a] continuous mode of reviewing and reviewing and reviewing, simply because you have to view the realities [of the market]," he said.  

He explained that maintaining the maximum sustained production capacity of 12 million bpd is due to the transitioning process.  

Prince Abdulaziz said Saudi Arabia will become the country that exploits all energy resources, announcing that the Kingdom is currently working on issuing tenders for about 30 gigawatts of solar energy. 

"Because we are transitioning, we will save approximately 950k-1mn b/d of consumed crude, diesel, and fuel oil... simply because we are transitioning to renewables and gas."  

He added: "We respect OPEC's decisions regarding oil stability in global markets," noting that Saudi Arabia will become the country exploiting all global energy resources.  

Meanwhile, Saudi Aramco CEO Amin Nasser expected oil demand to increase to 104 million bpd this year and 105 million bpd in 2025, downplaying suggestions that it will peak soon.  

During his participation at the IPTC, Nasser said energy consumption in 2025 will change completely, depending on supply and demand.  

Aramco is fulfilling its promises to save energy and is looking to increase its capacity and daily production.  

He added that Aramco is seeking to search for more sources and investors in hydrogen, gas, oil, and all energy sources, focusing on the primary mission, which is continuity of production and growth in gas, oil, and all energy sources.  

Moreover, Nasser predicted development in all energy fields, such as hydrogen or gas, and highlighted the significant advancements in solar energy.  

Aramco intends to invest in modern technologies and energy, he said, adding that Saudi Arabia is working to increase renewable energy production, support hydrogen, and provide and store energy.  

Nasser announced that Aramco is looking for skills, innovation, and the ability to develop, revealing that the company may establish technical companies and profit-making institutions in various industries.  

Saudi Arabia is hosting the International Petroleum Technology Conference (IPTC) at Dhahran Expo between February 12 and 14, with the participation of over 250 international companies. 

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Business

Saudi Arabia Allows Contracting Exceptions for Firms without Regional HQ

The King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
The King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
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Saudi Arabia Allows Contracting Exceptions for Firms without Regional HQ

The King Abdullah Financial District in Riyadh (Asharq Al-Awsat)
The King Abdullah Financial District in Riyadh (Asharq Al-Awsat)

Saudi Arabia has introduced greater flexibility into its investment environment, allowing government entities, under strict controls to safeguard spending efficiency and ensure the delivery of critical projects, to seek exceptions to contract with international companies that do not have regional headquarters in the kingdom.

The Local Content and Government Procurement Authority notified all government bodies of the mechanism to apply for exemptions through the Etimad digital platform.

The step is designed to balance enforcement of the “regional headquarters relocation” decision, in force since early 2024, with the needs of technically specialized projects or those driven by intense price competition.

Under a government decision that took effect at the start of 2024, state entities, including authorities, institutions and government-affiliated funds, are barred from contracting with any foreign commercial company whose regional headquarters in the region is located outside Saudi Arabia.

According to the information, the Local Content and Government Procurement Authority informed all entities of the rules governing contracts with companies that lack a regional headquarters in the kingdom and related parties.

Government entities may request an exemption from the committee for specific projects, multiple projects or a defined time period, provided the application is submitted before launching a tender or initiating direct contracting procedures.

Submission mechanism

In two circulars, the authority detailed how to submit exemption requests and clarified the cases in which contracting is permitted under the controls. It said the exemption service was launched on the Etimad platform in November 2025.

The service is available to entities that float tenders through Etimad. Requests for tenders launched before the service went live, as well as those issued outside the platform, will continue to follow the previously adopted process.

Etimad is the kingdom’s official financial services portal run by the Ministry of Finance, aimed at driving digital transformation of government procedures and boosting transparency and efficiency in managing budgets, contracts, payments, tenders and procurement. The platform streamlines transactions between state entities and the private sector.

Technical criteria

When issuing the contracting controls, the government made clear that companies without a regional headquarters in Saudi Arabia, or related parties, are not barred from bidding for public tenders.

However, their offers can only be accepted in two cases: if there is no more than one technically compliant bid, or if the offer ranks among the best technically and is at least 25% lower in price than the second-best bid after overall evaluation.

Contracts with an estimated value of no more than 1 million riyals ($266,000) are also exempt. The minister may, in the public interest, amend the threshold, cancel the exemption or suspend it temporarily.

More than 700 headquarters

More than 700 multinational companies had relocated their regional headquarters to Riyadh by early 2026, exceeding the initial target of attracting 500 companies by 2030. The program seeks to cement the kingdom’s position as a regional business hub and to localize global expertise.

When announcing the contracting ban, Saudi Arabia said the move was intended to incentivize foreign firms dealing with the government and its affiliated entities to adjust their operations.

It aims to create jobs, curb economic leakage, raise spending efficiency and ensure that key goods and services procured by government entities are delivered inside the kingdom with appropriate local content.

The government said the policy aligns with the objectives of the Riyadh 2030 strategy unveiled during the recent Future Investment Initiative forum, where 24 multinational companies announced plans to move their regional headquarters to the Saudi capital.

It stressed that the decision does not affect any investor’s ability to enter the Saudi economy or continue working with the private sector.

 

Business

IMF Board to Review Staff-level $8.1 Bln Agreement for Ukraine

The city's downtown on a frosty winter day, amid Russia's attack on Ukraine, in Kyiv, Ukraine February 19, 2026. REUTERS/Alina Smutko
The city's downtown on a frosty winter day, amid Russia's attack on Ukraine, in Kyiv, Ukraine February 19, 2026. REUTERS/Alina Smutko
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IMF Board to Review Staff-level $8.1 Bln Agreement for Ukraine

The city's downtown on a frosty winter day, amid Russia's attack on Ukraine, in Kyiv, Ukraine February 19, 2026. REUTERS/Alina Smutko
The city's downtown on a frosty winter day, amid Russia's attack on Ukraine, in Kyiv, Ukraine February 19, 2026. REUTERS/Alina Smutko

The International Monetary Fund on Thursday said its board ​would review a staff-level agreement for a new $8.1 billion lending program for Ukraine in coming days.

IMF spokeswoman Jule Kozack told reporters that Ukrainian authorities had completed the prior actions needed to move forward with the request ⁠of a new ⁠IMF program, including submission of a draft law on the labor code and adoption of a budget.

She said Ukraine's economic growth in 2025 ⁠was likely under 2%. After four years of war, the country's economy had settled into a slower growth path with larger fiscal and current account balances, she said, noting that the IMF continues to monitor the situation closely.

"Russia's invasion continues to take a ⁠heavy ⁠toll on Ukraine's people and its economy," Kozack said. Intensified aerial attacks by Russia had damaged critical energy and logistics infrastructure, causing disruptions to economic activity, Reuters quoted her as saying.

As of January, she said, 5 million Ukrainian refugees remained in Europe and 3.7 million Ukrainians were displaced inside the country.

Business

US Stocks Fall as Iran Angst Lifts Oil Prices

A screen displays a stock chart at a work station on the floor of the New York Stock Exchange (NYSE) in New York City, US, April 6, 2022. REUTERS/Brendan McDermid
A screen displays a stock chart at a work station on the floor of the New York Stock Exchange (NYSE) in New York City, US, April 6, 2022. REUTERS/Brendan McDermid
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US Stocks Fall as Iran Angst Lifts Oil Prices

A screen displays a stock chart at a work station on the floor of the New York Stock Exchange (NYSE) in New York City, US, April 6, 2022. REUTERS/Brendan McDermid
A screen displays a stock chart at a work station on the floor of the New York Stock Exchange (NYSE) in New York City, US, April 6, 2022. REUTERS/Brendan McDermid

Wall Street stocks retreated early Thursday as worries over US-Iran tensions lifted oil prices while markets digested mixed results from Walmart.

US oil futures rose to a six-month high as Iran's atomic energy chief Mohammad Eslami said no country can deprive the Islamic republic of its right to nuclear enrichment, after US President Donald Trump again hinted at military action following talks in Geneva.

"We'd call this an undercurrent of concern that is bubbling up in oil prices," Briefing.com analyst Patrick O'Hare said of the "geopolitical angst."

About 10 minutes into trading, the Dow Jones Industrial Average was down 0.6 percent at 49,379.46, AFP reported.

The broad-based S&P 500 fell 0.5 percent to 6,849.35, while the tech-rich Nasdaq Composite Index declined 0.6 percent to 22,621.38.

Among individual companies, Walmart rose 1.7 percent after reporting solid results but offering forecasts that missed analyst expectations.

Shares of the retail giant initially fell, but pushed higher after Walmart executives talked up artificial intelligence investments on a conference call with analysts.

The US trade deficit in goods expanded to a new record in 2025, government data showed, despite sweeping tariffs that Trump imposed during his first year back in the White House.