Saudi Arabia’s oil exports plunge as it surrenders market share to Russia, UAE

Saudi Arabia’s decision to restrict oil production has benefited Russia and the UAE, analysts say.

Saudi Arabia’s  crude oil exports have plummeted to years-long lows, potentially  denting the upside the kingdom will see from a recent rally in energy  prices.

According to data from Bloomberg,  Saudi Arabia exported about 5.6 million barrels a day in June, a level  that brings it to just 250,000 barrels more than it was exporting during  the start of the COVID-19 pandemic when global travel and oil demand  crashed.

Saudi Arabia has been the main force behind a push within an alliance  of the Organisation of the Petroleum Exporting Countries (Opec) and  Russia, called Opec+, to cut oil production to support prices. The kingdom has backed up its lobbying with actions by taking the lead in slashing production, analysts previously told Middle East Eye. Russia and the UAE have benefited from Saudi Arabia’s heavy lifting.

In a May Opec+ meeting, the UAE was granted a special exception to  boost its production to an additional 300,000 barrels a day in 2025. Meanwhile, cut off from the EU because of western sanctions over its  war on Ukraine, Russia has muscled into Saudi Arabia’s traditional oil  markets in Asia. (www.middleeasteye.net)

The post Saudi Arabia’s oil exports plunge as it surrenders market share to Russia, UAE appeared first on DailyNews.