Saudi energy minister coordinates in Baghdad position at the forthcoming OPEC meeting

Number of readings: 88 - 23/5/2017


The Saudi minister of energy, Khalid al-Falih, did not include any important files on the relations between the two countries, such as the Iraqi oil pipeline that runs through Saudi Arabia and is disrupted after the invasion of Saddam Hussein's regime in 1990, , The research in the visit focused on the one subject is to continue to implement the OPEC plan to freeze production to keep prices from collapse. The parliamentary energy committee hoped to invest the visit to discuss the file of oil relations and discuss the possibility of cooperation in the petrochemical issue that Saudi Arabia developed, and Iraq on the threshold of building industry in this area.

The Ministry of Oil confirmed on its spokesman Asim Jihad, that the visit of the Saudi minister focused on discussing the extension of the reduction of production led by OPEC, in line with the rise in oil prices, which jumped at the time of preparation of this report about one dollar per barrel.

"We welcome the visit of the Saudi Energy Minister to Iraq to coordinate OPEC and the return of Iraq to its normal position in the Organization, where he played a leading role during the past six months on the issue of reducing production and urged members to The first is the coordination within the OPEC as well as coordination with non-OPEC countries. The next conference to be held in Vienna, which will be attended by non-OPEC countries, is a good step because we know that there was no coordination among the countries within OPEC. Outside, prices will remain bearish It means that Iraq supports the talks on the overall agreement inside and outside OPEC.

Opec members are meeting in Vienna on Thursday to discuss extension of production cuts agreed last December between OPEC and 11 other countries, including Russia, as Saudi Arabia presses for an extension of the cuts until March 2018.

Bahr al-Ulum, who is also the former minister of oil, believes that the energy file is one of the important issues in activating the relations between neighboring countries and Iraq. We also have to leave the national energy security to the regional energy security in order to focus on a strategy for using energy as a unit to activate relations between countries.

And the priority of these relations is the relationship with Saudi Arabia, especially in files such as pipeline oil pipeline, which was founded in the eighties of the last century, which necessitates consideration in this visit to re-activate the opening of this pipeline, activating it is an important input to activate relations between Iraq - Be the priority of the discussions of this visit.

"Another issue is that there are different geological structures between the two countries, and there could be joint work by third parties to explore or through joint cooperation to look for oil and gas reservoirs in these geological structures that need to form functional technical committees in this," he said.

Which means that these topics are priorities of Iraq to solve its problems with neighboring countries, and give priority to activating the fields shared between him and his neighbors, the other issue that should be discussed is in the field of petrochemicals Saudi Arabia is well developed and Iraq to build a petrochemical industry and benefit from gas, Thus opening the horizons of cooperation between the two countries in this field.

Oil expert Hamza al-Jawahiri said in an interview with Al-Mada that one of the priorities of the visit of the Saudi Energy Minister is to focus on the issue of reducing production by the OPEC countries, while excluding discussion of other topics such as the oil pipeline between Iraq and Saudi Arabia, which was acquired after the invasion of Kuwait To return to Iraq, or the issue of common fields, and these topics are not in Saudi Arabia, as says Jeweler, who says: This may be located in Iraq, but it will not be in Saudi Arabia, because the latter now has a very important issue is huge bills must Paid to the US administration during p T years, and those bills more than five billion dollars, and the money should be compensated for oil.

Al-Jawahiri predicts that Saudi Arabia will stand behind the issue of raising oil prices to at least $ 60 a barrel, and perhaps even more. "By reading the events, Saudi Arabia agreed a short time ago with Russia to continue to freeze production according to the OPEC decision. And may even continue into the first half of next year, which means that the first concern for Saudi Arabia now is economic, and it must provide the necessary funds to pay the huge bills that we referred to.

Saudi Energy Minister Khaled Al-Falih's visit is the first of a three-decade-long senior Saudi energy official to visit Iraq. Al-Faleh met with his Iraqi counterpart Abdul-Jabbar al-Allaibi and discussed with him the strengthening of bilateral relations and OPEC's next decision to boost world prices and reduce the supply gap in the world oil market, said Oil Ministry spokesman Assem Jihad.