Saudi Arabia and Russia, the world’s largest oil exporters, said on Sunday they will confirm cuts to their oil production that began earlier this year until at least the end of 2023. The aim is to prevent a fall in the price of oil: after the summer cuts, the price of oil had risen to almost $98 a barrel in September before falling again to $85 a barrel last Friday.
OPEC+, the world’s largest organization of oil-producing countries, where Saudi Arabia is the de facto leader, has cut production since the beginning of the year, ostensibly as a preventive measure to maintain market stability and avoid a further fall in oil prices. Saudi Arabia said it would continue to produce 1 million barrels per day less than in 2022, bringing it to about 9 million per day by the end of the year.
Russia also issued a statement saying it had renewed its decision to cut its oil exports by 300,000 barrels per day by the end of December. In September, Russia halted most of its gasoline and diesel exports, partly to put pressure on Western countries to lift some sanctions imposed after the invasion of Ukraine.