Published: Sat, January 12, 2019
Markets | By Otis Pena

Saudi Aramco Set To Disclose Accounts, Oil Reserves In Planned Bond Sale

Saudi Aramco Set To Disclose Accounts, Oil Reserves In Planned Bond Sale

U.S. West Texas Intermediate (WTI) crude oil futures were at $51.75 per barrel down 61 cents, or 1.2 per cent, from their last settlement, while the International Brent crude futures were down 1 per cent or 63 cents, at $60.81 per barrel.

Oil prices edged up on Thursday, extending its gains for the ninth consecutive day, as Saudi Arabia announced output reduction volumes in January and February.

An independent audit of Saudi Arabia's hydrocarbon reserves is a positive step for the initial public offering of Saudi Aramco and will pave the way for the state-owned oil producer to sell global bonds to fund mega acquisitions, analysts said.

Oil has ticked upwards again today for its eighth straight session as Opec cuts in the New Year and hopes US-China trade talks pushed prices up. "We have seen peaks and drops in prices (that are) completely unjustified by the fundamentals".

After a turbulent final quarter in 2018, oil prices have been supported in the first week of 2019 by cuts from OPEC producers and Russian Federation.

That figure is "more than sufficient to bring balance to the market", said Falih, adding that the production cut would trim excess supply.

Ireland to accept five migrants after agreeing deal with Malta
Malta said another 78 migrants would be allowed to stay in Malta, and 44 Bangladeshi migrants would be sent back to their country. Italy was another of the eight countries that agreed to let in migrants from the Sea-Watch and Sea-Eye ships.

Saudi Arabia is expected to announce a slight rise in its crude oil and gas reserves on Wednesday after being independently audited, according to a source familiar with the matter.

Leading consultants DeGolyer and MacNaughton (D&M) conducted the independent certification.

Saudi Arabia plans to sell a stake in Aramco as part of its Vision 2030 programme, the kingdom's overarching economic overhaul agenda, which is aimed at weaning the kingdom off oil income.

The energy ministry said that Saudi reserves were 268.5 billion barrels of oil and 325.1 trillion standard cubic feet of gas at the end of 2017, Arab News reported, citing the official Saudi Press Agency.

Falih said Saudi oil remains among the cheapest in the world to extract, at only $4 a barrel. Falih said on Wednesday the kingdom would still go ahead, and list the company by 2021.

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