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Saudi Arabia will increase its oil production capacity from 2025 to 2027 Image Credit: Shutterstock

Dubai: Saudi Arabia will increase its oil production capacity from 2025 to 2027, before returning to the current level of 12.3 million barrels per day (bpd) in 2028, the country’s energy minister has revealed.

Speaking at the International Economic Forum in St. Petersburg, Russia, Prince Abdul Aziz Bin Salman said the Organisation of the Petroleum Exporting Countries and its allies, collectively known as OPEC+, has the option to pause or reverse output increases.

“We adjusted the production capacity from 13 million bpd to 12 million bpd. However, in 2025, we will have an incremental increase. We will have a bigger incremental increase in 2026 and 2027. And then we will go back to our 12.3 million bpd production in 2028,” said the energy minister.

During the discussion, Haitham Al Ghais, secretary general of the OPEC+, highlighted the importance of focusing on fundamentals. “We look at economic growth, we look at supply, we look at demand, and yes, we do still believe demand for oil is good and resilient,” said Al-Ghais.

The OPEC+ chief added that more investments are needed in the oil industry to stabilise the market and meet the rising demand.

Al Ghais also made it clear that energy sources of all kinds are necessary for the future and that efforts should be made to reduce emissions.

“By 2030, we have a statistical projection that 600 million people will move to new cities as a part of urbanisation. This puts everything into context. We need all sources of energy. We should not discriminate against any sources of energy. The focus should be on tackling emissions,” added Al Ghais.