Sunday 9 December 2018

Why oil’s ‘big three’ just got bigger: Saudi Arabia, Russia and the US are still calling the shots

Why oil’s ‘big three’ just got bigger: Saudi Arabia, Russia and the US are still calling the shots:

The meeting of the Organization of Oil Exporting Countries (OPEC) in Vienna last week confirmed what some in the oil industry have been saying for a while: A new global energy dynamic is being created by the three-way relationship between Saudi Arabia, Russia and the US.

After a first day of deadlock over the output reduction needed to stabilize global crude prices, it took a second-day intervention by Russia to back up Saudi calls for a substantial cut, which was duly delivered.

That brought to a conclusion probably the most controversial OPEC meeting of recent times, with a crop of geopolitical factors — Qatar’s planned withdrawal from the organization, sanctions on Iran and the threat of global trade wars — all in evidence.

No comments:

Post a Comment