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- WH National Security Adviser Sullivan: US Pres. Biden will push for greater oil output on Mideast trip
WH National Security Adviser Sullivan: US Pres. Biden will push for greater oil output on Mideast trip
“US President Joe Biden will make the case for greater oil production from OPEC nations to bring down gasoline prices when he meets Gulf leaders in Saudi Arabia this week, White House national security adviser Jake Sullivan said on Monday,” reported Reuters.
Key quotes
Biden leaves Tuesday night on his first visit to the Middle East as president, with stops in Israel, the occupied West Bank and Saudi Arabia on his agenda.
Sullivan said members of the Organization of the Petroleum Exporting Countries (OPEC) have the capacity to take ‘further steps’ to increase oil production despite suggestions from Saudi Arabia and the United Arab Emirates that they can barely increase oil production.
Experts say the White House understands Saudi Arabia is unlikely to move unilaterally and that Riyadh and other Gulf nations lack significant spare capacity.
In a commentary published in the Washington Post late on Saturday, Biden said his aim was to reorient and not rupture relations with a country that has been a U.S. strategic partner for 80 years.
Iran is expected to be discussed on the trip in a region nervous about Tehran's influence.
Sullivan said the United States believes Iran is preparing to provide Russia with up to several hundred drones, including some that are weapons capable, for use in its war against Ukraine.
FX implications
WTI crude oil remains pressured around $100.60, extending the week-start retreat, as recession fears join expectations of more output.
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