Gulf countries strive to stabilize oil market, Saudi Arabia will increase production in return from the US

The oil ministers of six countries including Bahrain, Iraq, Kuwait, Oman, Saudi Arabia and the United Arab Emirates (UAE) have reaffirmed their commitment to implementing “voluntary joint and national adjustments” related to oil production.

Gulf countries reaffirm commitment to adjust oil production. (Source: InfluenceMap)

The above information was published by the Saudi Arabian national news agency (SPA) on October 8, on the sidelines of the Middle East-North Africa (MENA) Climate Week event held in the capital Riyadh.

“In addition, the Ministers reiterated the goodwill in the Declaration of Cooperation (DoC) between the countries to deploy additional measures at any time in the ongoing efforts to support market stability, based on the OPEC+ bloc,” the SPA news release said.

* Previously, on October 6, the Wall Street Journal quoted sources from Washington and Riyadh as saying that the major oil producer in the Middle East is ready to increase production early next year in exchange for a defense treaty with the US.

The two countries have been involved in negotiations for a trilateral agreement between Saudi Arabia, the United States and Israel.

Under the deal, Riyadh would normalize relations with the Jewish state in exchange for a formal security pact with Washington, which would allow the US to help Saudi Arabia establish a civilian nuclear program and agree to sell billions of dollars worth of weapons to the Gulf state.

Negotiations on the arms deal have reportedly stalled due to Washington's concerns about high oil prices.

Since October last year, the OPEC+ group led by Saudi Arabia has agreed to extend oil production cuts until the end of 2023. The move has caused crude oil prices on the global market to increase and caused gasoline prices in the US to increase.

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