US thinking about printing petroleum reserve

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Photo: Mark Lennihan / AP Photo

The US and its Western allies are considering extra throwing on the market of oil from strategic reserves. This writes The Wall Street Journal.

According to sources in the presidential administration the United States to discuss such a step to prevent a new spike in oil prices. At the same time, Washington is pushing other countries to increase production, trying to keep a high supply in the oil markets.

In early June, Russia and Saudi Arabia suggested OPEC countries to increase oil production by 1.5 million barrels a day. The parties explained the measure with compensation for the falling production in Venezuela and potential withdrawal from the market of a part of Iranian oil because of U.S. sanctions. Such plans are not satisfied, in particular, Iran, Venezuela and Iraq.

The agreement on the limitation of oil production is valid from 2017. He was joined by 24 participants — OPEC countries and not members of the oil cartel States, including Russia.

On 11 July the head of the Federal Treasury Roman Artyukhin said that additional oil and gas revenues of the Federal budget of Russia for the first half of 2018, amounted to 1.7 trillion rubles. According to the current budget rule, additional oil and gas incomes of the budget at an oil price of over 40 dollars per barrel received in the national welfare Fund.

Video, photo All from Russia.

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