Russia and Saudi Arabia made a joint statement on September 5 at the G20 summit in China calling for cooperation to support the oil markets. According to the statement, Moscow and Riyadh had agreed to create a task force to contribute for oil market stability, including a production freeze.
Crude prices jumped, following the report. Futures for Brent crude have grown by almost five percent to over $49 per barrel in early trading today.
According to Deputy Crown Prince Mohammed bin Salman, oil market stability is impossible without the cooperation between Russia and Saudi Arabia. The Saudi representative said this after the meeting with Russian President Vladimir Putin in Hangzhou, China on September 4.
“Our countries are the two biggest oil producers, that’s why there can’t be a stable oil policy without the participation of Russia and Saudi Arabia,” the Prince said.
Reports say Russia would likely participate in OPEC’s November meeting in Vienna to discuss the possibility of an oil output freeze by major producers. Informal talks in Algeria on the same issue is expected later this month.