Simonr Henderson, a columnist for the American edition of The Hill, believes that the reduction in oil production of OPEC + countries may have a bad effect on Democrats in the upcoming midterm elections to the US Congress in November.
“The suggestion of a possible cut in oil production can be seen as a painful blow to President Biden after his hardly successful trip to Saudi Arabia at the beginning of the summer,” – Henderson said.
During a working visit to the Middle East in the summer, US President Joe Biden met with the prince of Saudi Arabia and was unable to convince him to increase oil production amid rising fuel prices. In addition, Henderson noted, the Biden administration may be disappointed in partnering with Saudi Arabia because of its possible oil alliance with Russia.
For the first time since March 2020, OPEC+ countries will hold a face-to-face meeting in Vienna to discuss limiting oil production.
Earlier, the Financial Times wrote that Russia, Saudi Arabia and other OPEC+ countries may cut oil production. According to the publication, such a move will lead to an increase in oil prices, which is why Joe Biden will not be able to reduce fuel prices. Bloomberg claimed that OPEC+ countries could cut oil production by at least 500,000 barrels a day.
On September 1, it became known that the heads of the ministries of finance of the G7 countries agreed to set a ceiling on prices for oil and gas from Russia. The marginal cost of Russian oil will be determined by a number of technical parameters. Russian President Vladimir Putin said on September 7 that if the West decides to impose a cap on oil prices, then Moscow will completely stop supplying energy resources there.
