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Page added on April 10, 2020

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Trump Has “Big Talk” With Putin, Saudi King Salman About Oil

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U.S. President Donald Trump said he had a “big talk” with Russian President Vladimir Putin and Saudi King Salman regarding oil production, expressing hopes that a deal on the control of said production would be announced soon.

“We had a big talk as to oil production and OPEC and making it so that our industry does well and the oil industry does better than its doing right now,” Trump said as quoted by Reuters.

It remains unclear whether the deal Trump mentioned would involve the participation of the United States: Reuters reported on the U.S. president’s statement after OPEC+ sources announced that it had reached an agreement in principle to remove 10 million bpd from global supply beginning in May.

It remains to be seen how much everyone will cut. Initial reports from unofficial OPEC sources suggest that Russia and Saudi Arabia will both slash their production to around 8.5 million bpd.

Following those unofficial reports that were trickling in, OPEC issued a press release, in which it said that all producers would be cutting from a baseline of their average for October 2018 except Russia and Saudi Arabia, “both with the same baseline level of 11.0 mb/d.”

The cuts, according to the press release, would be effective from May, and taper down after June, but staying effective at some level through April 2022, to be reviewed in December next year. This is quite a long time for an agreement of this size, which indicates OPEC+ is finally taking the threat that the pandemic is to world oil economic activity and oil demand seriously. However, it may, as some warned, be too little too late.

A cut of 10 million bpd, even if it is effective for two months, as planned, would not do much to relieve the glut, which according to estimates may have reached 30 million bpd. The group said it expected other producers to join in with cuts of another 15 million bpd, which would be better for excess supply and storage capacity.

By Irina Slav for Oilprice.com



13 Comments on "Trump Has “Big Talk” With Putin, Saudi King Salman About Oil"

  1. Zeke Putnam on Fri, 10th Apr 2020 12:36 pm 

    I thought Trump has “big talk” everyday. In fact, I think that’s about all he is big talk.

  2. REAL Green on Fri, 10th Apr 2020 12:49 pm 

    I thought Trump has “big talk” everyday. In fact, I think that’s about all he is big talk.

  3. dysfunction china on Fri, 10th Apr 2020 1:03 pm 

    amputate all muzzies starting with muzzie imams

  4. Duncan Idaho on Fri, 10th Apr 2020 1:10 pm 

    1947 — US: FBI agents visit SAG (Screen Actors Guild) President Ronald Reagan & his wife, Jane Wyman, accusing them of belong to Communist front groups; to demonstrate his patriotism, Ronnie quickly agrees to become a secret informer.

  5. dysfunctional china on Fri, 10th Apr 2020 1:13 pm 

    dysfunction china gona take over the world

    PBBM is death to america
    games over guys

    why bother changing my underwear after 4 days, we’re gona thanks to China PBBM.

    game over

  6. Duncan Idaho on Fri, 10th Apr 2020 1:15 pm 

    1962 — US: Baseball’s Dodger Stadium opens, built by architect Captain Emil Praeger.

    (I was there)

  7. Duncan Idaho on Fri, 10th Apr 2020 2:53 pm 

    Tis the times’ plague, when madmen lead the blind.

    — Shakespeare, King Lear

  8. dissident on Fri, 10th Apr 2020 3:09 pm 

    The Saudis are America’s sock puppet. Washington and its Riad proxies tried to pull the same stunt that they did in the middle of the 1980s against the USSR. But the joke was on the banana republic called Saudi Arabia and its patron with a Ponzi tight oil industry that bleeds red year after year.

    Time to stop smoking the crack and end the fantasy projections.

  9. Apolitical on Fri, 10th Apr 2020 3:43 pm 

    Trump always talks out of his ass and anyone who believes him is in for a rude awakening.

  10. I AM THE MOB on Fri, 10th Apr 2020 6:33 pm 

    The COVID-19 epidemic is based on anecdote, rumor, gossip, conjecture, speculation, bad science, and lies.

  11. Duncan Idaho on Sat, 11th Apr 2020 1:38 pm 

    The Fat Boy has a talk with the Clown Prince?

    Late stage capitalism is rather bizarre, but the humor is lacking.

  12. Duncan Idaho on Sat, 11th Apr 2020 1:59 pm 

    Its online—
    https://s.hdnux.com/photos/01/05/40/05/18219330/3/core_promo.jpg

  13. Abraham van Helsing on Sat, 11th Apr 2020 2:05 pm 

    “The COVID-19 epidemic is based on anecdote, rumor, gossip, conjecture, speculation, bad science, and lies.“

    What happened to your lust for social revolution? Rowing back, are we?

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