PARIS, France – Despite international pressure to increase output, Saudi Arabia’s cabined, chaired by King Salman bin Abdulaziz Al Saud, reaffirmed its commitment to the OPEC+ agreement – a pact made by 10 major crude oil producers and Russia to gradually pump more oil in the market to meet demand – a statement by the Saudi state news agency said on Tuesday.
The cabinet was briefed on a call held between Saudi’s Crown Prince Mohammed bin Salman and French President Emmanuel Macron on Sunday, where the kingdom expressed its keenness ‘on the stability and balance of oil markets’, the state news agency said.
Oil prices surged above $100 per barrel after Russia launched an invasion of Ukraine last week, piling pressure on a global economy already reeling from rampant inflation.
The Russian economy is heavily dependent on revenue from oil and gas, and Moscow wants prices to remain elevated. Saudi Arabia is under intense pressure from developed economies to increase output.
The Saudi cabinet discussed ‘the situation in Ukraine and its impact on energy markets, and the Kingdom’s keenness on the stability and balance of oil markets and its commitment to the (OPEC Plus) agreement’, the Saudi Press Agency said.
The Saudi cabinet also called for ‘de – escalation’ and a ‘political solution in Ukraine’, according to the state news agency said. This is the first official Saudi reaction to the Russian invasion, which started last week.
Saudi Arabia – a major U.S. ally – has not presented a pro – Western position on the Russian invasion of Ukraine.