Riyadh Announced Its Readiness to Increase Oil Production if Prices Rise
Saudi Arabia has told the United States that it is ready to increase oil production in early 2024 if crude oil prices are high, the Wall Street Journal reports, citing Saudi and American officials.
According to the publication, this move is aimed at winning favor in the American Congress to conclude a deal in which Riyadh will secure a defense pact with Washington, as well as possible cooperation in the nuclear field, in exchange for recognition of Israel. It is noted that such a pact may require approval from the Senate.
US officials visited Saudi Arabia last month, where they indicated that rising oil prices would make it more difficult to gain support in Washington, officials said. However, the newspaper notes, Riyadh stressed that when making production decisions it will be guided by market conditions. The sources also added that there is no talk of a long-term agreement on price reductions.
