$OIL, $USO, $UNG
The Kingdom’s energy minister says Saudi Arabia may increase its investments in the US
Saudi Arabia may increase its Crude Oil investments in the US due to a more fossil fuel-oriented energy policy by the Trump Administration, the Kingdom’s Energy Minister said Wednesday
President Donald Trump campaigned on a promise that Washington should boost US energy independence from Oil Cartels such as OPEC, of which Saudi Arabia is its de facto leader and the group’s biggest Crude Oil producer.
But Saudi Arabia’s Minister of Energy, Industry and Mineral Resources, Khalid al-Falih, said that “there are huge areas of alignment” in interests between the 2 traditional allies.
“President Trump has policies which are good for the Oil industries and I think we have to acknowledge it … He has steered away from excessively anti-fossil fuels, unrealistic policies,” Mr. Falih in a TV interview broadcast Wednesday.
“I think he wants a mixed energy portfolio that includes oil, gas, renewables, and make sure that the American economy is competitive. We want the same in Saudi Arabia.”
Last year Saudi Arabia unveiled sweeping plans aiming to end the Kingdom’s dependence on Crude Oil and transform it into a global investment power through a broad reform plan dubbed Vision 2030.
Mr. Falih said: “We have no problem with the growth of American indigenous oil supply. I have said repeatedly, as long as they grow in line with global energy demand, we welcome them.
“We had billions of dollars invested in refining and distribution in the United States and we may be increasing that investment on the back of pro-industry, pro-Oil and Nat Gas policies of the Trump Administration.”
Mr. Falih added that he is looking forward to coordinating energy policies with the nominee for US Energy Secretary, former Texas Governor Rick Perry (R).
President Trump and Saudi Arabia’s King Salman spoke by telephone Sunday, agreeing to step up counter-terrorism and military cooperation and enhance economic relations,.
“The relationship between the US and Saudi Arabia is very, very strong,” Mr. Falih said in Wednesday’s interview.
“Saudi Arabia and the United States cannot afford not to work together… to confront the challenges that are facing the world.”