The UAE Energy Minister, Suhail Al Mazrouei, said that oil prices would have been higher than they are now, had it not been for the decisions of “OPEC Plus”, during his participation, today, in the African Oil Week in Dubai.
And the American “Bloomberg” agency explained the minister’s statement that the OPEC + group will maintain its position of resistance to American pressure, demanding that oil be pumped at a faster pace.
Al Mazrouei added that without the decisions of OPEC +, oil prices would have doubled or tripled.
The "OPEC Plus" alliance was established in 2006 and includes 23 countries, of which 13 are members of OPEC, in addition to other oil countries such as Russia, Bahrain, Oman and Sudan.
The “OPEC Plus” meetings witness the determination of the volume of oil pumping into the global market, and the share of each country in production to maintain balanced prices, and to avoid flooding the market. It also guarantees economic benefits to countries.
Brent crude prices have jumped about 62 percent this year, to reach $84 a barrel, in the wake of the global economy's recovery and overcoming the effects of Covid-19.
And when the Corona epidemic led to a global economic crisis and a slowdown in production, the OPEC + group resorted to reducing its oil production to protect its prices from collapsing, and then recently began to increase production by an average of 400,000 barrels per month.
The United States, Japan, India and others have called on OPEC+ countries to increase production at a faster pace.
The Saudi Minister of Petroleum, Abdulaziz bin Salman, had previously stated that oil prices are less volatile than the prices of natural gas or coal.
Today, Al-Mazrouei reiterated the same opinion, stressing that without the decisions of OPEC +, oil prices would have witnessed huge increases, like the ones witnessed by gas.
Al-Mazrouei explained that the OPEC + countries warned against increasing production, that the oil market is expected to witness a surplus in the first quarter of 2022, in addition to the fact that demand fluctuates sometimes due to the continuing waves of corona infection in some countries, saying that the OPEC + countries must balance all these. factors.
The African Oil Week is the largest oil and gas exhibition in the African continent, and it runs from today until 11 November, with the participation of more than 400 companies, and the sponsorship of 37 institutions.
The list of strategic sponsors of the event includes a number of major companies in the energy sector, including "Total Energy", "ADNOC", "Shell", "Equinor" and "Chevron".
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