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Report: Saudi Arabia, Russia continue oil dispute despite 'truce'

An exchange board is seen on 30 March, 2020 [Sefa Karacan/Anadolu Agency]
An exchange board is seen on 30 March, 2020 [Sefa Karacan/Anadolu Agency]

Saudi Arabia and Russia are reported to have continued their oil dispute, despite previous announcements that measures are being taken to balance oil markets.

Shipping data analysed by Reuters showed that the dispute between the two major oil producers is more related to market share, particularly in Asia, rather than future prices.

Last week, Saudi Arabia and Russia announced that they were ready to take measures, if necessary, to achieve market balance through a joint production cut with the rest of OPEC+ producers starting in May.

Reuters quoted a source at a trading firm as saying that "beyond the cooperative statements the fight is still going on".

The news site said Russia relies on Asian markets as a destination for its oil since the establishment of the 1.6 million barrel per day ESPO pipeline which connects Russian fields to Asian markets through the port of Kozmino and also via a pipeline with China, the biggest Asian consumer.

READ: Covid-19 and the oil market crash spell the end for US hegemony and the petrodollar

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Europe & RussiaMiddle EastNewsRussiaSaudi Arabia
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