Saudi state oil company Saudi Aramco is going to increase its production capacity to 13 million barrels per day, from the current 12 million barrels. According to Aramco, the step is being commissioned by the Saudi energy ministry.
Increasing capacity is part of the price war that Saudi Arabia is unleashing on the oil market, following the failure of a deal on production limit with Russia. In addition, Riyadh significantly lowers the prices of his oil while increasing production. In April, Saudi Aramco’s daily oil supplies should rise to 12.3 million barrels (one barrel is 159 liter). That would be a record level.
Oil prices fell very sharply Monday due to the Saudi price war on the oil market, with minuses of more than 20 percent. Those were the biggest declines since 1991. On Tuesday, prices have recovered, but on Wednesday prices are again under pressure.