Saudi Arabia wants to enrich uranium for nuclear power, says energy minister

United States Oil rises as Saudi Arabia signals OPEC cuts to continue under new energy minister

Saudi Arabia's new energy minister, Prince Abdulaziz bin Salman, said Monday that oil production cuts would benefit all exporting nations, in an indication he will support further reductions to address an oversupplied market and sagging prices.

Saudi Arabia's new energy minister Prince Abdulaziz bin Salman has assured India that his country will remain a reliable supplier to the world's third-largest energy consumer and is committed to investing in the country.

To sustain its budget and fund the so-called Vision 2030 plan, the kingdom needs crude oil selling at roughly $80 a barrel. - Saudi King Salman on yesterday promoted one of his sons to the pivotal role of energy minister, strengthening his family's grip on the levers of power from oil to finance and defence.

But in the past efforts to lift prices have routinely backfired in the medium term (18-36 months) by encouraging competing supplies and limiting consumption through greater fuel efficiency, conservation and substitution.

Iran will not negotiate with the United States while sanctions on Tehran are still enforced by Washington, Rouhani told his French counterpart Emmanuel Macron in a phone call on Wednesday, Iranian state media reported.

Vision 2030, which the crown prince unveiled in April 2016, aims to develop public-service sectors such as health, education, infrastructure, recreation and tourism, and to steer the Saudi economy away from its dependence on oil and gas, which now accounts for about half of its gross domestic product.

Saudi energy ministers have all learned the limits to their power, usually the hard way, when they tried and failed to prop prices up. We are looking for crude oil supply to fall by 3 million barrels.

In the most recent period, foreign reserves fell by a total of nearly $14 billion in June and July, as lower prices hit export earnings, after increasing by $32 billion over the previous 20 months.

"Some people will say this is a normal situation, but if you look at where prices are, Saudi Arabia is not satisfied with US$60-a-barrel oil", he said.

The prince's unparalleled diplomatic network may help soothe relationships frayed by Al-Falih, who often seemed impatient with OPEC members unable or unwilling to contribute meaningful oil production cuts. That has spooked nonproliferation experts, who warn such technology could allow Saudi Arabia to pursue a nuclear weapon amid heightened tensions between Iran and the us over Tehran's program.

The demand for OPEC crude will average 29.40 million bpd next year, OPEC said, down 1.2 million bpd from this year. The oil carter has been cutting production in an attempt to ease a global oil glut that has pressured crude prices. As well as being responsible for oil production policy, Al-Falih was chairman of state oil company Aramco and led planning for its IPO.

But the style of Saudi Arabia's oil-market management is likely to be different.

Prince Abdulaziz is a known figure among OPEC members and industry insiders.

The appointment of Prince Abdulaziz bin Salman as the new energy minister mirrors the ascent of his half-brother Crown Prince Mohammed bin Salman, the de facto ruler.

Al-Falih's biggest achievement of his three-year term was managing OPEC's agreement with Russian Federation, which saw the world's No. 2 exporter agree to formal curbs on production for the first time as the global oil market adjusted to a flood of American shale oil.

Related:

Comments

Latest news

Ashes 2019: Joe Root says England must build towards Ashes in Australia
Australia will be looking to cap off the Ashes tour with a win after a successfully retaining the Ashes in Manchester. Paine has now revealed Australia Prime Minister Scott Morrison had a message for the team ahead of the fifth Test.

Indian universities draw a blank in THE’s top 300 list
The global rank of IISc , country's premiere research institute, has declined to 301-350 from 251-300. A total of 56 Indian institutes are among thousand world-class universities this year.

Friday's full harvest moon is also a micro moon
The harvest moon is also referred to as Micro moon as it is said that this moon appears 14 percent smaller than the regular moon. Although it's technically possible to look at the Harvest Moon when it's 100% lit, that's not the time to observe it.

Apple in hot water because of iPhone 11
CLW says that the number has now fallen from 50 percent to 30 percent, but that still violates Chinese labour laws. By recruiting these laborers, "the factory does not need to increase the wages for all regular workers", it said .

Triple Crown victor Justify failed drug test before Kentucky Derby
Drape's article said that a handful of racing officials, and people connected to the horse, knew about the failed drug test. Justify tested positive for the banned substance scopolamine, which veterinarians say can enhance performance.

Other news