Saudi Arabia and Russia considering PAUSE on oil increases after Biden announced plan to release oil reserves

It looks like Saudi Arabia and Russia are going to counter Biden’s plan to release oil out of the US strategic reserves by putting a pause on the oil increases they had already planned on making:

Here’s more:

WSJ – Top oil producers Saudi Arabia and Russia are considering a move to pause their recent efforts to provide the world with more crude, according to people familiar with those discussions, after Washington and other countries said they would release a slug of stored oil in an effort to lower prices.

Riyadh and Moscow have led OPEC and a group of other oil-producing countries in coordinating output closely amid a demand shock last year caused by the pandemic. Other members of that cartel, including the United Arab Emirates, aren’t convinced a pause is necessary, according to these people.

The U.S. said Tuesday that it and a handful of other countries would tap their national strategic petroleum reserves amid high oil and gasoline prices. The move came after repeated attempts by Washington to convince the Saudi-led Organization of the Petroleum Exporting Countries and a group of Russia-led oil producers to open up their taps. The two groups, which call themselves OPEC+, are set to meet next week to review a long-term deal they reached earlier this year to boost their collective oil output.

To compensate for the new supply, Riyadh and Moscow are now considering a pause of the group’s monthly collective increase, OPEC delegates said. The U.A.E., a powerful OPEC member that has clashed with Saudi Arabia over OPEC policy in the past, and Kuwait are resisting a pause, according to the delegates.

Saudi Arabia sees the released crude as potentially swelling global supply and threatening to reduce prices, according to people familiar with the country’s thinking.

This is another reason why Biden’s plan won’t work. Releasing our own strategic oil reserves doesn’t address the root problem, which is our dependence on foreign oil and gas. If Biden could only get it through his thick socialist skull that we need to be oil independent so that we aren’t affected by the games these OPEC countries play with oil production.

We need MORE licenses to drill, more drilling and more fracking of our own resources. We need the Keystone pipeline and all the jobs it will create. This isn’t hard, but Biden is very anti-oil just like Trump said last year, and now the country is suffering for their decision to put him in the White House.

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