04.01 | 01:25
The trend of reduction in oil prices could have a significant impact on the most important member of OPEC. To date, Saudi Arabia managed to maintain a good market position only through radical strategies regarding the drop in oil prices. However, the government could step in and at risk, an entirely new phase of the battle for themselves to establish a leading position in the market.
In Saudi Arabia today’s vast oil reserves. At the same time production costs almost as low relative to other countries and the lowest possible. While Saudi Arabia is trying to eliminate the strong competitors in the face of the United States of America and the Russian Federation, the approach according to the experts bears and sufficiently serious risks for the main players of the oil market. Reduced prices below sixty dollars is only capable of making the situation more difficult for Saudi Arabia itself.
Since the summer the price of oil fell almost doubled. Experts believe that the reason lies in the excess supply of the product on the market. Decision by OPEC to maintain oil production quotas at the level of 30 000 barrels per day 00 only accelerated the collapse of the price.
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