Saudi Arabia And Russia Confirm Cuts: Brent Above $90

Saudi Arabia and Russia announced cuts in oil production until the end of the year, which immediately led to an increase in crude oil prices on international markets. North Sea oil thus rose to $90.44 a barrel (+1.6%), while Texas WTI rose 2% to $87.26.

Saudi Arabia announced today that it will cut production by 1 million barrels per day until the end of the year, setting production at 9 million barrels per day. On the other hand, in addition to the 500,000-bpd cut (a measure introduced last April and confirmed for the entire year 2024), Russia will also apply a voluntary 300,000-bpd export cut before the end of the year. Deputy Prime Minister of Russia Alexander Novak explained, “The voluntary decision to reduce oil production will be reviewed monthly to consider the possibility of deepening the reduction or increase in production, depending on the situation on the world market,” he told the TASS news agency, adding that this action “is aimed at strengthening the preventive measures taken by the OPEC+ countries to maintaining the stability and balance of the oil markets.”