Oil prices rise with indications of Russia-Saudi Arabia talks

Riyadh/Moscow : In the light of the statements issued by Russia and Saudi Arabia, the world’s biggest oil producers , the prices of crude oil have soared. For the very first time after almost three weeks the rates of crude oil have touched $45 per barrel. On Monday, prices of crude oil were noted at $45.13 per barrel in the United States and at $45.08 in the United Kingdom.

Towards the end of last week, the Energy Minister of Saudi Arabia released a statement indicating the possibility of discussions between OPEC member countries and other energy producing countries. Prior to this, Saudi Arabia had persistently dismissed any such possibility. Thus, official statement of Saudi’s Energy Minister proved a significant means of creating a positive ambience in the oil market. Following the statements of Ministers in Saudi, the Russian Energy Minister also, during an interview, made a reference to the possibility of talks to stabilize the market

During an interview with a Saudi Arabian newspaper, Energy Minister of Russia- Alexander Novak spoke about this possibility. “With regard to the cooperation with Saudi Arabia, measures are being taken to ensure that the dialogue between the two countries be positive. Moreover the talks could proceed on a bilateral or even a multilateral level. Russia is ready for a dialogue with the framework of consultations to achieve oil market stability with OPEC countries and other oil producing countries in order to achieve stability in the oil market.” said Novak.

Saudi and Russia being forerunners among the oil producing countries,the statements of their senior ministers gain particular significance. and as a result of the above the end of the past week saw a leap of 6.4% in the rate of crude oil while on Monday the rate had soared by 1.5%.