Saudi Energy Minister Abdulaziz bin Salman stated that if a price cap is imposed on Saudi oil exports, the Kingdom will not sell oil to any country that imposes a price cap on its supplies.
This came in response to a question about the re-introduction of the NOPEC bill, the price ceiling, and the potential effects of that on the oil market, during a meeting with Energy Intelligence.
He added: We will reduce oil production..and I will not be surprised if other countries take the same measure.
He continued: There is a big difference between the NOPEC bill and the expansion of imposing a price ceiling, but their potential impact on the oil market is similar, as such policies add new risks and greater ambiguity at a time when clarity and stability are most needed.
Bin Salman believes that these policies will exacerbate market instability and fluctuations, which will negatively affect the oil industry.
Regarding the OPEC + decision on production levels, the Saudi Energy Minister stressed that the only reasonable measure under the current circumstances is to maintain the agreement concluded by the group last October.
And he continued: There are those who continue to believe that we will amend the agreement... I say that they need to wait until Friday, December 29, 2023, for us to prove to them our commitment to the current agreement.
What is meant by the current conditions, in the opinion of the Saudi Energy Minister, is the expectation that the global economy will continue to grow this year and next, despite the uncertainty about the pace of growth.
In addition to China starting the recovery phase after the prolonged closures due to the Corona virus pandemic, although the period required for recovery is still unclear.