Thursday 13 December
Saudi Arabia plans to cut its oil exports to the US market sharply after its heavy exports to the world's second-largest oil market in recent months, with the aim of reducing US stockpiles, informed sources said.
Oil companies operating in the United States have been informed that Saudi crude shipments will decline in the next month after the decision of the Organization of the Petroleum Exporting Countries (OPEC), which includes Saudi Arabia last week, Cut production as of the beginning of the new year.
According to the sources, shipments of Saudi oil to the United States next month, could fall to the lowest level in 30 years, which was recorded in late 2017 also of 582 thousand barrels per day, noting that the final figures of these shipments have not yet been determined.
Bloomberg pointed out that Saudi Arabia aims to reduce its exports to the US market, and to send a message to the markets that it meets its commitments to reduce production; to restore balance to the global oil market.
While Saudi Arabia's decision to cut its oil exports to the US market is aimed at rebalancing supply and demand in the global market as a whole, this move could anger US President Donald Trump, who called on Saudi Arabia and other oil nations not to cut production, Oil markets to keep prices low.
One source pointed out that it is expected to decline Saudi oil exports in January to about 7 million barrels per day, compared to about 8 million barrels of two days during the past two months and the current.
Saudi Energy Minister Khalid al-Faleh told reporters last week that Saudi Arabia's oil output will fall to 10.2 million bpd next month, compared to 11.1 million bpd last November.
At the same time, Bloomberg data indicate that the average Saudi oil exports to the United States during the current year is 860 thousand barrels per day, while the average jumped in the second half of this year to about 975 thousand barrels per day, which indicates that the reduction of exports Over the next month will be great.