Saudi Arabia to cut oil exports by 120,000 barrels per day

The world’s top oil exporter said it planned to ship slightly more than 7 million bpd this month. Above, Aramco’s Abqaiq oil facility in eastern Saudi Arabia. (Reuters)
Updated 10 November 2017
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Saudi Arabia to cut oil exports by 120,000 barrels per day

DUBAI: Saudi Arabia plans to cut crude exports by 120,000 barrels per day (bpd) in December from November, reducing allocations to all regions, a spokesman for the energy ministry said on Thursday.
Crude exports to the US will be more than 10 percent lower than November levels, he said.
The world's top oil exporter said it planned to ship slightly more than 7 million bpd this month, up from low levels during summer when domestic demand was at its peak.
Seasonal drops in domestic crude demand free up more oil for export during the winter months.
OPEC, along with other non-member oil producers led by Russia, agreed to cut output by around 1.8 million bpd from Jan. 1 this year until March 2018.
OPEC is seeking to achieve consensus among the participating countries ahead of its next meeting in Vienna on Nov. 30 on how long to extend the deal beyond March.


Lebanon finance minister urges new reforms after Moody’s report

Updated 14 December 2018
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Lebanon finance minister urges new reforms after Moody’s report

  • Lebanon credit default swaps surge
  • Political wrangling adds to fiscal woes

BEIRUT: Lebanon’s finance minister said on Friday that a decision by Moody’s rating agency to change the country’s outlook to negative from stable proved the need to form a government and launch reforms.
Moody’s changed Lebanon’s outlook on Thursday while affirming its B3 rating, reflecting what it called an increase in risks to the government’s liquidity position and the country’s financial stability.
Saddled with a stagnant economy and the world’s third-highest rate of debt as a proportion of gross domestic product, Lebanon is also mired in political wrangling, with rival parties unable to form a government since May’s parliamentary election.
“Moody’s report today... confirms the importance of forming a government and starting reforms to restore confidence, reduce risks and reduce the deficit,” Finance Minister Ali Hassan Khalil wrote in a tweet.
“This is possible now, but we may lose the opportunity in months if the outlook remains negative,” he added.
The cost of insuring Lebanese sovereign debt against default this week rose to its highest level since the global financial crisis of 2008.
Overnight interbank rates for Lebanese pounds hit a 2018 high of 75 percent on Thursday. Two sources Reuters spoke to on Friday familiar with the rate said it had stayed at that level, while two others said it had dropped a bit.
The rates have not been this high since November 2017, when Prime Minister Saad Al-Hariri announced, and then rescinded, his resignation in a declaration that Saudi Arabia was widely believed to have coerced him into making.
“Once you have a government, it will have a positive impact on the market. Demand for dollars will decrease and things will go down again to the normal situation,” said one trader.