... extended the period of a
sanctions waiver
for Iraq — most recently in September — due to Baghdad's dependence on Iran’s gas and electricity. Iraq’s need to comply with the OPEC+ quotas has a negative impact on the situation, since with the cut of oil production in Iraq the volume of associated gas production also decreased. And this, in turn, again increases dependence on the gas imported from Iran.
Ruslan Mamedov:
Russia Doubles Down on Iraq Despite COVID-19
If Baghdad loses the possibility to import electricity from Iran, Iraq will not be able to receive the same volume from another source. After Iraq's OPEC+ agreement partners expressed dissatisfaction with Baghdad’s ...
... Iraq, Lebanon and Yemen. It is the modern “Cold War” of the Middle-East. One of the reasons Saudi Arabia did not join the Astana initiative is that Iran is a founder. The Saudis does not fear a Russian influence in Syria, but they rather fear an Iranian one. Plus, Russians and Saudis have a lot to discuss and cooperate such as Oil and Gas markets, they have to deal openly at some point. It is in none favour to go into a confrontation in Syria or the Middle-East. As a result, the Saudis had started to view the Russian role in the Middle-East as stability guaranteer. The Saudis ...
... countries' combined crude output amounts to just 22% of global production
[1]
; cutting back production would not achieve much, while losing them their market share. Moreover, in the foreseeable future, global crude output is set to grow not because of Russian or Saudi production but rather thanks to Iraq, Iran and possibly also Libya and Nigeria. The US shale oil factor should not be disregarded either.
Saudi Arabia and Russia have similar problems and seek similar solutions: the two countries both need oil dollars, investments and new technology.
Second and perhaps more importantly, gone are the days when ...
... broad statements about the end of the era of high oil prices and the transition to fundamentally new types of energy.
This anxiety has chiefly been caused by the numerous unexpected events in July and August, which saw the lifting of sanctions against Iran, disappointment in the pace of growth in the Chinese economy, the situation in the Middle East, and OPEC member countries’ policy. Meanwhile, the oil price is a key factor determining the economic development of many countries, including Russia, where oil production and sale accounts for over
40 percent of revenues
to the federal budget, among other major exporters that are heavily reliant on oil.
The most likely scenario is this: over the short-term oil prices will continue to fall,...
