The demand for crude oil in the world market has decreased during the Corona virus. And it has shaken the thinking of oil- exporting countries in the Middle East, which have survived on the oil economy, that the world oil market is leaning towards fossil fuels. And so the demand for mineral oil may decrease.
Saudi Arabia is busy packing its own sugarcane before the crude oil market runs out. The country’s state-owned oil producer Aramco has boosted crude oil production. The country plans to increase daily oil production from 12 million barrels to 13 million barrels.
Experts say they want to make a profit by increasing their oil exports before the demand for environmentally friendly oil increases in the world market. Meanwhile, the country is planning to retain its position in the market as the demand for crude oil in the western countries decreases. That is why they want to strengthen their position in countries like India and China.
But now Aramco is optimistic about the global oil market. As a result of population growth, the demand for oil in the world market will increase. The market is not expected to collapse anytime soon, an Aramco official said in a statement to Reuters.
Saudi Arabia needs money to implement Crown Prince Mohammed bin Salman’s new economic plan. Prince Salman wants to reduce the country’s dependence on oil exports by 2030. And for this he needs money. One of the sources of that money is oil exports.
And so Salman is thinking of investing the money earned by exporting more oil in other sectors, experts told Reuters. Meanwhile, due to the growing demand for environmentally friendly oils in the market, Aramco is also thinking about that. Aramco’s oil is more environmentally friendly than its competitors.
The concentration of carbon dioxide per barrel of Aramco oil is ten point one kg which is much less than its competitors. “Our aim is to concentrate on environmentally pleasant oil manufacturing and scale back manufacturing prices,” an official informed Reuters.
Along with this, we are also looking at increasing oil production. So that we can survive in the world market by competing with the competitors. And we can meet the demand for oil. We can make a profit and invest in other things.