Saudi Energy Minister: We are working as mature central banks for oil... Supporting market stability and preventing sharp fluctuations

Prince Abdulaziz bin Salman, Minister of Energy, said during a press conference following the meeting of the ministers of the "OPEC +" coalition that the decision will help enhance the chances of market stability and prevent it from sharp ups and downs.

And he continued: "These measures reflect our responsibility as producers, and we want to prove to the world that we work as actual, mature central banks that possess the tools and means that enhance their exercise of this role effectively and professionally and are able to achieve this stability," indicating that a good action plan has been developed in 2024.

He stressed that the voluntary cuts were extended until the end of next year, indicating that the right decision was taken in the interest of market stability, transparency, justice and independence, and said, "The agreement we reached today is unprecedented. The meeting was constructive and contributes to the stability of oil markets. Market stability is the most important thing we have." .

The Minister of Energy added, "We will assign independent parties to verify the production capacity of each country, and we will do everything in our power to maintain the stability of the oil market," indicating that the decision that was taken helps to enhance the stability of the markets and prevent volatility.

He continued, "We made the right decisions in OPEC +, as it will put governments on the right tracks, and we want to prove to the world that we have the tools to stabilize the oil market, and we are not worried about supplies next year."

An official source in the Saudi Ministry of Energy announced that, in addition to what was agreed upon at the “OPEC +” meeting yesterday, the level of production required for each country for 2024, and what the “OPEC +” countries did, which previously announced in April voluntary cuts until the end of 2023, and extended Its voluntary reductions until the end of 2024, the Kingdom will implement an additional voluntary reduction in its production of crude oil, amounting to one million barrels per day, starting in July for a month that can be extended, so that the Kingdom’s production becomes nine million barrels per day, and the total voluntary reduction of the Kingdom is 1.5 million barrels per day.

While Suhail Al Mazrouei, UAE Minister of Energy, said, "We remain united to achieve the goal of market stability," pointing out that Saudi Arabia's additional reduction in oil production shows the importance of market stability.

The final statement of the “OPEC +” ministerial meeting stated that in light of the continued commitment of “OPEC +” to achieving and sustaining a stable oil market, and providing long-term directives to the market and in line with the successful approach of being cautious, proactive and preventive that has been constantly adopted by the coalition, member states decided Reaffirming the framework of the Declaration of Cooperation signed on December 10, 2016 and ratifying it in subsequent meetings, as well as the Cooperation Charter signed on July 2, 2019.

The meeting was chaired by Prince Abdulaziz bin Salman, Minister of Energy, and Alexander Novak, Russian Deputy Prime Minister, in the presence of Haitham Al-Ghais, Secretary General of OPEC.

The atmosphere prior to the three ministerial meetings was positive, as Prince Abdulaziz bin Salman was keen to hold special talks with African energy ministers in the "OPEC +" coalition to discuss production and investment difficulties in the African continent, and how to adhere to OPEC's decisions and reach the required production quotas.