Saudi Energy Minister: OPEC+ shielded Saudi from oil market chaos

"Inaccurate information almost always present in some forecasts,"
Saudi Energy Minister: OPEC+ shielded Saudi from oil market chaos
Saudi Energy Minister Prince Abdulaziz bin Salman (Photo Credit: Saudi Energy Ministry's Twitter account)

The Saudi Minister of Energy, Prince Abdulaziz bin Salman, said that OPEC+ is based on objective rules and market foundations, without politicizing decisions or political influence. He explained that the organization’s approach to proactive measures contributed to protection from oil market chaos.

Read more: Saudi says OPEC+ is doing everything possible to ensure market stability

“We do not politicize OPEC+ decisions, we keep political affairs outside our analyses and expectations of market conditions, and focus on market fundamentals only. This enables us to assess the situation more objectively and clearly, and this in turn enhances our credibility,” the Saudi Minister of Energy said.

“There is inaccurate information that is almost always present in some forecasts,” Prince Abdulaziz bin Salman added. At a time when OPEC+ was maintaining demand figures for 2021, some parties continued to reduce historical and current demand estimates, Significantly, the resulting variations are often referred to as the “Missing Barrels Mystery”.

“Later on, these entities were forced to correct those differences at the beginning of 2022,” he added. By increasing estimates of the level of demand… It would not be surprising if the issue of “missing barrels” resurfaced in early 2023, following the same pattern of underestimating demand estimates.

“We, in (OPEC+), will not hesitate to deal with any market situation, and we realize that the greater our credibility, the easier our mission to achieve market stability becomes, and the more stability we achieve, the more we can enhance our credibility and win,” Prince Abdulaziz added. Others have recognized OPEC+ efforts, and this is without a doubt a positive chapter that the organization strives to maintain through objective, high-quality analysis and a continued focus on market fundamentals.

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