US not expecting Saudi Arabia to immediately boost oil production

US not expecting Saudi Arabia to immediately boost oil production

Washington is eager to see OPEC pump more oil to help bring down high cost of petrol

By Reuters Published: Fri 15 Jul 2022, 6:56 PM

The United States is not expecting Saudi Arabia to immediately boost oil production and is eyeing the outcome of the next OPEC+ meeting on Aug. 3, the US national security adviser said on Friday, lowering expectations as US President Joe Biden visits the kingdom.

"I don't think you should expect a particular announcement here bilaterally because we believe any further action taken to ensure that there is sufficient energy to protect the health of the global economy, it will be done in the context of OPEC+," Jake Sullivan said.

Biden is set to land in Jeddah on Friday on a trip that is designed to reset the US relationship with the kingdom and during which energy supply, human rights and security cooperation are on the agenda.

Still, the US could secure a commitment that OPEC will boost production in the months ahead in hopes that it will provide a signal to the market that supplies are coming if necessary.

Saudi Arabia, alongside the UAE, holds the bulk of spare capacity within the OPEC+ group, an alliance between the Organization of