U.S. senators to discuss oil market with Saudi Arabia: Reuters

Republican U.S. senators who have introduced a bill that would remove U.S. defense systems and troops in Saudi Arabia unless it cuts oil output will hold a call with the kingdom’s officials on Saturday, a source familiar with the planning said on Tuesday, Report informs citing Reuters.

Senators Kevin Cramer and Dan Sullivan will hold a call with the officials two days after a scheduled OPEC+ meeting in which Saudi Arabia and Russia are expected to agree on an output cut. The two countries have been pumping oil flat out beginning last month in a race for market share.

The senators’ bill would remove U.S. troops, Patriot missiles, and THAAD defense systems from the kingdom and put them elsewhere in the Middle East unless it cuts oil output.

OPEC+ agreement to cut output expired in late March. The deal became invalid because Russia and Saudi Arabia could not reach an agreement on the continuation of the contract. Moreover, OPEC countries began to increase output. The global demand for oil declined over the coronavirus pandemic. Consequently, the oil price dropped to $22 a barrel for the first time in the last two decades.

After this, OPEC+ decided to hold an extraordinary meeting. Despite being planned to be held on April 6, the meeting was postponed to April 9. On April 10, G20 energy ministers are holding an urgent meeting.