Saudi Energy Minister Prince Abdulaziz bin Salman met with his Iraqi and Libyan counterparts, Hayan Abdel-Ghani and Khalifa Abdulsadek, in Riyadh to discuss strategies for maintaining global energy market stability, according to Saudi state news agency (SPA).
Context: OPEC+ Monitoring Committee Meeting
The meeting comes ahead of the OPEC+ Joint Ministerial Monitoring Committee (JMMC) meeting scheduled for February 3. OPEC+, led by Saudi Arabia and including allies like Russia, is expected to assess market conditions and its production strategy.
U.S. Pressure on Oil Prices
Recently, U.S. President Donald Trump publicly urged Saudi Arabia and OPEC to lower oil prices, linking it to efforts to end the war in Ukraine. However, OPEC+ has not officially responded to this appeal.
Current OPEC+ Strategy
- OPEC+ plans to gradually increase oil production starting in April, as part of a phased rollback of prior production cuts.
- These increases had been delayed multiple times due to weak global demand.
Saudi Arabia’s Position on Market Stability
At the World Economic Forum in Davos, Saudi Economy Minister Faisal al-Ibrahim reiterated the kingdom’s focus on ensuring long-term stability in the oil markets, prioritizing consistency over short-term fluctuations.
Key Takeaways
- Energy Diplomacy: Talks between Saudi Arabia, Iraq, and Libya underline OPEC+ efforts to align strategies for market stability.
- Rising Pressures: Trump’s push for lower oil prices adds external pressure on OPEC+, but the group has traditionally prioritized market fundamentals over political influence.
OPEC+ Meeting: The February 3 JMMC meeting will likely clarify the group’s stance on production increases and global demand recovery.
