Saudi Arabia, as part of the price war with Russia, increased production of raw materials from April 1, but in conditions of low demand on the world market, it turned out to be useless, writes The Wall Street Journal, citing a source.
In April, the OPEC+ agreement to reduce oil production ended. Riyadh, as promised, has increased its production capacity to more than 12 million barrels per day. This is 2 million barrels more than the daily production a few months ago.
To be able to increase production capacity, Saudi Arabia has hired more tankers to unload oil. Some of them on Wednesday, April 1, leave the ports in the Persian Gulf full, but do not have a destination. As the source of the publication explained, this suggests that Saudi Arabia has not been able to find a buyer for the "extra" barrels.
At the same time, Russia, despite the formal end of the OPEC+ agreement on April 1, is not yet going to increase oil production, writes Bloomberg, citing a Russian official. He explained that in a situation where there is no demand for raw materials, this simply does not make sense.