Abdulaziz bin Salman: In Saudi Arabia, We Don’t Know the Word ‘Impossible’

Prince Abdulaziz highlighted that Saudi Arabia is achieving “record-low costs for renewable energy generation." Asharq Al-Awsat
Prince Abdulaziz highlighted that Saudi Arabia is achieving “record-low costs for renewable energy generation." Asharq Al-Awsat
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Abdulaziz bin Salman: In Saudi Arabia, We Don’t Know the Word ‘Impossible’

Prince Abdulaziz highlighted that Saudi Arabia is achieving “record-low costs for renewable energy generation." Asharq Al-Awsat
Prince Abdulaziz highlighted that Saudi Arabia is achieving “record-low costs for renewable energy generation." Asharq Al-Awsat

Saudi Energy Minister Prince Abdulaziz bin Salman stated that Saudi Arabia might be the only country positioned to financially benefit from the global energy transition toward renewables, affirming: “In the Kingdom, we don’t know the word ‘impossible.’”

Speaking at a session on New Energy Economies during the eighth annual Future Investment Initiative in Riyadh on Tuesday, he explained: “We’re building nearly 4,000 kilometers of gas pipelines to supply cities with affordable gas as part of our energy transition strategy. This could potentially triple our chemical production, providing us with valuable liquids and methane gas, which will yield substantial gains for the Kingdom.”

“How many countries worldwide are taking on what we are in terms of energy transition and accelerating the Vision 2030 targets?” he asked, adding: “This country doesn’t know the word ‘impossible.’ Over the last six years, we have achieved significant progress with focus and purpose, using our circular carbon economy approach to direct us to where we intend to go. Our aim is to diversify our economy, create value, strengthen supply chains, and generate jobs—all core to Saudi Arabia’s plans.”

Prince Abdulaziz highlighted that Saudi Arabia is achieving “record-low costs for renewable energy generation” and shared plans to provide 20 gigawatts of renewable energy annually. He emphasized that the country is proactively identifying suitable sites for renewable energy production and accelerating its shift toward gas.

“Since 2020, we have produced 44 gigawatts of renewable energy—equivalent to about half of the total capacity in the UK and 90% of that in Sweden.” He added that Saudi Arabia will be uniquely positioned to profit financially from the energy transition.

The Kingdom is also working to connect all regions to at least two electricity sources and is expanding pipelines nationwide to ensure industrial cities have a stable gas supply.

Prince Abdulaziz announced agreements and contracts supporting these goals, targeting nine electricity control centers by 2030, up from the current two.

“We have already signed for 26 gigawatts of battery storage, aiming to reach 48 gigawatts by 2030. Some G20 countries haven’t reached these figures,” he remarked.

He also noted ongoing collaborations with the Public Investment Fund (PIF) to launch an optimized carbon market and with Ma’aden to secure critical mineral supplies both domestically and internationally. Referring to the Saudi Green Initiative and Middle East Green Initiative, he noted: “No other country has initiatives like these.”

The minister reaffirmed Saudi Arabia’s commitment to maintaining a crude oil production capacity of at least 12.3 million barrels per day, saying: “We are committed to sustaining this production level, and we take pride in that.”



Oil Prices Rise on Optimism Over Solid US Fuel Demand

FILE PHOTO: A pump jack drills oil crude from the Yates Oilfield in West Texas’s Permian Basin, as a 1.5MW GE wind turbine from the Desert Sky Wind Farm is seen in the distance, near Iraan, Texas, US, March 17, 2023. REUTERS/Bing Guan/File Photo
FILE PHOTO: A pump jack drills oil crude from the Yates Oilfield in West Texas’s Permian Basin, as a 1.5MW GE wind turbine from the Desert Sky Wind Farm is seen in the distance, near Iraan, Texas, US, March 17, 2023. REUTERS/Bing Guan/File Photo
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Oil Prices Rise on Optimism Over Solid US Fuel Demand

FILE PHOTO: A pump jack drills oil crude from the Yates Oilfield in West Texas’s Permian Basin, as a 1.5MW GE wind turbine from the Desert Sky Wind Farm is seen in the distance, near Iraan, Texas, US, March 17, 2023. REUTERS/Bing Guan/File Photo
FILE PHOTO: A pump jack drills oil crude from the Yates Oilfield in West Texas’s Permian Basin, as a 1.5MW GE wind turbine from the Desert Sky Wind Farm is seen in the distance, near Iraan, Texas, US, March 17, 2023. REUTERS/Bing Guan/File Photo

Oil prices edged up on Thursday, extending the previous day's rally, driven by optimism over US fuel demand following an unexpected drop in crude and gasoline inventories, while reports that OPEC+ may delay a planned output increase offered support.
Brent crude futures gained 11 cents, or 0.15%, to $72.66 a barrel by 0805 GMT. US West Texas Intermediate crude futures climbed 13 cents, or 0.19%, to $68.74 per barrel.
Both contracts rose more than 2% on Wednesday, after falling more than 6% earlier in the week on the reduced risk of a wider Middle East conflict. US gasoline stockpiles fell unexpectedly in the week ending Oct. 25 to a two-year low on strengthened demand, the Energy Information Administration said, while crude inventories also posted a surprise drawdown as imports slipped. Nine analysts polled by Reuters had expected an increase in gasoline and crude inventories.
"The surprise decline in US gasoline stockpiles provided a buying opportunity as demand appeared stronger than anticipated," said Toshitaka Tazawa, an analyst at Fujitomi Securities.
"Expectations of a potential delay in the OPEC+ production increase were also supportive... If they do delay, WTI could recover to the $70 level," he said. Reuters reported OPEC+, which groups the Organization of the Petroleum Exporting Countries and allies such as Russia, could delay a planned oil production increase in December by a month or more because of concern over soft oil demand and rising supply. The group is scheduled to raise output by 180,000 barrels per day (bpd) in December. It had already delayed the increase from October because of falling prices.
A decision to postpone the increase could come as early as next week, two OPEC+ sources told Reuters.
OPEC+ is scheduled to meet on Dec. 1 to decide its next policy steps.
Manufacturing activity in China, the world's biggest oil importer, expanded in October for the first time in six months, suggesting that stimulus measures are having an effect. Markets are awaiting the results of the US presidential election on Nov. 5 as well as further details of China's economic stimulus. Reuters reported that China could approve the issuance of over 10 trillion yuan ($1.4 trillion) in debt over the next few years on the last day of its Nov. 4-8 parliamentary meeting. In the Middle East, Lebanon's prime minister expressed hope on Wednesday that a ceasefire deal with Israel would be announced within days as Israel's public broadcaster published what it said was a draft agreement providing for an initial 60-day truce. The push for a ceasefire for Lebanon is taking place alongside a similar diplomatic drive to end hostilities in Gaza.
But the market impact is likely to be muted.
"Most of the Middle East geopolitical risk was stripped out of the oil price after Israel's response to Iran over the weekend," IG market analyst Tony Sycamore said.
Iran said that Israeli strikes on Saturday, in retaliation for Iran's Oct. 1 attack on Israel, caused only limited damage.