Saudi Arabia’s oil production is set to recover, and is predicted to exceed levels seen before energy attacks on installations in September, reports Reuters. Speaking at a Russian-Saudi investment event in Riyadh, Prince Abdulaziz bin Salman said that production is expected to reach 9.86 million barrels per day (bpd) over October and November.
The attacks caused the kingdom’s oil production to fall by 660,000 bpd to 9.13 million bpd, which caused a surge in global prices. However, a rapid production recovery and concerns about slowing global economic growth have helped reverse the losses.
Current exports equal around 6.9 million bpd but Prince Abdulaziz said that Saudi Arabia’s production capacity would reach 12 million bpd by the end of November. The country will also continue with voluntary output cuts, part of a global deal by producers aimed at propping up prices, of around 400,000 bpd.
The organisation of petroleum exporting countries and allies (OPEC+) will next meet in December to decide on output policy for 2020.
In this respect, Prince Abdulaziz called for a focus on stability of the oil market, rather than prices. “We hope that Nigeria, Gabon, South Sudan and Iraq will be fully compliant with OPEC+ deal in October,” he told reporters.
In turn, Reuters reports that Russia energy minister Alexander Novak speaking at the same event that there were no talks underway to change the global output deal and Moscow was fully committed.
An OPEC+ committee, known as the JMMC, will continue to monitor the oil market to evaluate whether there is a need for a deeper cut or stability at the current levels.
The deal between OPEC, Russia and other non-OPEC producers aims to reduce output by 1.2 million bpd until March 2020.