NEW YORK: Saudi Arabia and Russia are working on a historic long-term pact that could extend controls over world crude supplies by major exporters for many years.
Saudi Crown Prince Mohammed bin Salman said that Riyadh and Moscow were considering a deal to greatly extend a short-term alliance on oil curbs that began in January 2017 after a crash in crude prices.
“We are working to shift from a year-to-year agreement to a 10 to 20 year agreement,” the crown prince told Reuters in an interview in New York late on Monday.
“We have agreement on the big picture, but not yet on the detail.”
Russia, not a member of the Organization of the Petroleum Exporting Countries, has worked alongside the 14-member group during previous oil gluts, but a 10 to 20 year deal between the two would be unprecedented.
Top OPEC producer Saudi Arabia recruited Russia and other non-OPEC countries to help drain oversupply when oil prices collapsed to below $30 a barrel in 2016 from over $100 in 2014.
Crude has since recovered to $70 but fast-rising output from US shale producers has capped prices.
“This is all about whether the arrangement is a short-term expedient to deal with this particular crisis in the oil market, or whether it reflects a realignment in world oil,” said oil historian Daniel Yergin, vice chairman at consultancy IHS Markit.
“OPEC countries want to find a way to institutionalize this relationship rather than to have it be a one-shot deal.”
Robert McNally at consultancy Rapidan Energy Group said Riyadh wanted help in breaking the boom-bust cycles that characterize oil markets by capping crude on the upside as well as by helping lift low oil prices.
“History shows that without a long-term, powerful, competent coherent, disciplined swing producer in the oil markets ... you get space-mountain oil prices. Wild volatility of the sort we have seen in the past 10 to 15 years and that Saudi Arabia and Russia do not want to see again,” McNally said.
He said that would require Russia to join Saudi in building spare production capacity to use when prices rise too much.
SAUDI, RUSSIA ALLIANCE “THICKER THAN OIL“
A long-term pact between Moscow and Riyadh would effectively co-opt Russia to the Saudi-led OPEC cartel while strengthening Russia’s hand in the Middle East where the United States has long been the dominant super-power.
News of the potential oil alliance came at a time when the two have been working to cement an economic relationship despite being at odds over the conflict in Syria, where they back opposing sides.
A meeting between the Saudi crown prince and Russian president Vladimir Putin on the sidelines of a G20 meeting in China in September 2016 was instrumental in bringing Russia on board to support OPEC, non-OPEC oil curbs.
Last October, Saudi King Salman became the first Saudi monarch to visit Russia, providing investment and political support for a Russian economy battered by Western sanctions.
“It is a very important strategic development,” Helima Croft at RBC Capital Markets said of a potential 10 to 20 year Saudi-Russia oil collaboration.
“First, the Crown Prince is making the statement, not the oil minister, one more clear sign that he (like Putin) is the final word on his country’s oil policy.
“Second it is one more sign of the major reversal in Saudi-Russia relations. Saudi was a staunch cold war ally of the US Now this Russia-Saudi alliance appears to be thicker than oil and seems to be driven by the personal affinity between Putin and MBS,” said Croft.
ARAMCO IPO LATE 2018, EARLY 2019
The crown prince predicted that world oil demand would not peak until 2040, despite advances in renewable energy technologies and the electric vehicle.
In an attempt to end Saudi Arabia’s reliance on oil, he is leading a push to diversify the Saudi economy away from oil and gas by 2030.
Riyadh plans to raise funds through the flotation of a 5 percent stake in state Saudi oil company Aramco. Time is running out for an initial public offering this year but the crown prince said the IPO could still take place at the end of 2018 or in early 2019, depending on financial market conditions.
Saudi Oil Minister Khalid Al-Falih said last week that documentation was ready but that a venue for the IPO had not yet been decided. The New York stock exchange is still in the running for the IPO, alongside London and Hong Kong, but Falih said there was a risk of a “frivolous” legal action if Aramco were listed in the United States.
OPEC seeks oil alliance with Russia for next 10-20 years - Saudi crown prince
OPEC seeks oil alliance with Russia for next 10-20 years - Saudi crown prince
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Israel-Hamas talks resume in Qatar as violence shows no let-up
- Israel's defense chief says direct negotiations with Hamas seeks release of hostages
- PM Netanyahu had given “detailed instructions for the continued negotiations,” says Defense Minister Katz
- A total of 96 Israeli hostages remain in Gaza, including 34 the Israeli military says are dead
GAZA STRIP: Israel confirmed on Saturday that negotiations for a Gaza ceasefire and hostage release deal had resumed in Qatar, as rescuers said more than 30 people had been killed in fresh bombardment of the territory.
The civil defense agency said a dawn air strike on the home of the Al-Ghoula family in Gaza City killed 11 people, seven of them children.
AFP images from the neighborhood of Shujaiya showed residents combing through smoking rubble. Bodies including those of small children were lined up on the ground, shrouded in white sheets.
As the violence raged, Israeli Defense Minister Israel Katz confirmed that indirect negotiations with Hamas had resumed in Qatar for the release of hostages seized in the October 2023 attacks.
The minister told relatives of one of the hostages, woman soldier Liri Albag, that “efforts are under way to free the hostages, notably the Israeli delegation which left yesterday (Friday) for negotiations in Qatar,” his office said.
Katz said that Prime Minister Benjamin Netanyahu had given “detailed instructions for the continued negotiations.”
He was speaking after Hamas’s armed wing, the Ezzedine Al-Qassam Brigades, released a video of Albag in captivity in Gaza.
In the undated, three-and-half-minute recording that AFP has not been able to verify, the 19-year-old conscript called in Hebrew for the Israeli government to secure her release.
In response, her family issued an appeal to Netanyahu, saying: “It’s time to take decisions as if it were your own children there.”
A total of 96 Israeli hostages remain in Gaza, including 34 the Israeli military says are dead.
Campaign group the Hostages and Missing Families Forum said the latest video was “firm and incontestable proof of the urgency of bringing the hostages home.”
Hamas had said late on Friday that the negotiations were poised to resume.
The militant group, whose October 7, 2023, attack on Israel triggered the Gaza war, said they would “focus on ensuring the agreement leads to a complete cessation of hostilities (and) the withdrawal of occupation forces.”
Mediators Qatar, Egypt and the United States have been engaged in months of effort that have failed to end nearly 15 months of war.
In December, Qatar expressed optimism that “momentum” was returning to the talks following the US election of Donald Trump, who takes office in 16 days.
But Hamas and Israel then accused each other of setting new conditions and obstacles.
As the clock ticks down to the handover of power in Washington, the outgoing administration of President Joe Biden notified Congress of an $8 billion arms sale to Israel, a source familiar with the plan said on Saturday.
“The department has informally notified Congress of an $8 billion proposed sale of munitions to support Israel’s long-term security by resupplying stocks of critical munitions and air defense capabilities,” the official said.
The United States is Israel’s largest military supplier.
Civil defense spokesman Mahmud Bassal said the Ghoula home in Gaza City “was completely destroyed” by the dawn strike.
“It was a two-story building and several people are still under the rubble,” he said, adding Israeli drones had “also fired on ambulance staff.”
Contacted by AFP, the Israeli army did not immediately comment.
“A huge explosion woke us up. Everything was shaking,” said neighbor Ahmed Mussa.
“It was home to children, women. There wasn’t anyone wanted or who posed a threat.”
Elsewhere, the civil defense agency said an Israeli strike killed five security officers tasked with accompanying aid convoys as they drove through the southern city of Khan Yunis.
The Israeli army said the five had been “implicated in terrorist activities” and were not escorting aid trucks at the time of the strike.
Rescuers said strikes elsewhere in Gaza killed 10 other people.
AFP images showed Palestine Red Crescent paramedics in Gaza City moving the body of one of their colleagues, his green jacket laid over the blanket that covered his corpse.
The health ministry in Hamas-run Gaza said a total of 136 people had been killed over the previous 48 hours.
On Sunday, the Israeli military said it intercepted a missile launched from Yemen in the latest of a series of attacks.
Yemen’s Iran-backed Houthi rebels have been firing missiles and drones at Israel — as well as at ships in the Red Sea and Gulf of Aden — in what they say is a solidarity campaign with Palestinians during the war in Gaza.
The Hamas attack that triggered the war resulted in the deaths of 1,208 people, mostly civilians, according to an AFP tally based on Israeli official figures.
Israel’s retaliatory military campaign has killed at least 45,717 people in Gaza, the majority of them civilians, according to figures from the Gaza health ministry which the United Nations considers reliable.
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Israel military says it intercepted another missile fired by Houthis
- Yemen’s Houthi militia have been firing missiles and drones at Israel as well as at ships in the Red Sea and Gulf of Aden
- The militia said its campaign is in solidarity with Palestinians during the Israel-Hamas war in Gaza
JERUSALEM: The Israeli military said Sunday that it had intercepted a missile launched from Yemen, shortly after sirens sounded.
“Following the sirens that sounded a short while ago in Talmei Elazar, a missile launched from Yemen was intercepted prior to crossing into Israeli territory,” the military said in a statement posted to Telegram.
On Friday, Israel’s military said it shot down a drone launched from Yemen after it crossed into Israeli territory.
Yemen’s Houthi militia have been firing missiles and drones at Israel — as well as at ships in the Red Sea and Gulf of Aden — in what they say is a solidarity campaign with Palestinians during the Israel-Hamas war in Gaza.
The Houthis have stepped up their attacks since November’s ceasefire between Israel and Hezbollah in Lebanon.
Israel has also struck Yemen, including targeting Sanaa’s international airport at the end of December.
Mali’s army claims arrest of Daesh group leader
BAMAKO: Mali’s army said Saturday its forces had arrested two men, one of them a leading figure in the Sahel branch of the Daesh group.
The army announced they had also killed several of the group’s fighters during an operation in the north of the country.
A statement from the army said they had arrested “Mahamad Ould Erkehile alias Abu Rakia,” as well as “Abu Hash,” who they said was a leading figure in the group.
They blamed him for coordinating atrocities against people in the Menaka and Gao regions in the northeast of the country, as well as attacks against the army.
Mali has faced profound unrest since 2012 linked both to militants associated with Al-Qaeda and the Daesh group, and to local criminal gangs.
The country’s military rulers have broken ties with former colonial power France and turned, militarily and politically, to Russia.
Audi strengthens partnership with Key Car Rental
Audi Saudi Arabia and Samaco Motors, the exclusive dealer for Audi cars in the Kingdom, are celebrating their enduring partnership with Key Car Rental, a partner since 1998. The collaboration has grown stronger over the years, with Key Car Rental selecting a curated fleet of Audi vehicles to meet the diverse needs of premium rental customers across the Kingdom. The partnership has enjoyed an increase in the purchase of Audi cars, with a diverse fleet including Audi A4, A6 and A8 models, in addition to the Audi Q2 and Q3 now also available across rental points of sales across the Kingdom.
To honor the partnership, Audi and Key Car Rental recently hosted a celebration at the Audi showroom in Jeddah. The event marked the delivery of the latest additions to Key Car Rental’s growing premium rental fleet and highlighted the increasing demand for Audi vehicles in the Saudi rental market. Top management from both Key Car Rental and Audi Saudi Arabia were in attendance, as well as representatives from sales and marketing divisions, all of whom celebrated the continued success of this collaboration.
“The continuous expansion of our fleet with Audi range has been a significant milestone for Key Car Rental, marking a new era in our service offering with the help of Audi’s seamless operations, which has greatly contributed to increasing our sales and customer satisfaction,” said Khalid Baghdadi, CEO of Key Car Rental.
Key Car Rental demonstrated unwavering trust in Audi’s product portfolio, by purchasing 100 units of the Audi Q2 and Q3 models, which were strategically distributed across their PoS locations throughout the Kingdom.
This bold move underscored the growing demand for the luxury segment within the Saudi rental market. The entry SUV models Audi Q2 and Q3 perfectly balance premium, performance, and affordability, meeting the needs of customers who seek premium quality at a competitive price point. The Q2, compact yet efficient, combines urban versatility with Audi’s cutting-edge design, making it ideal for those who value agility and style. Meanwhile, the Q3 offers a refined driving experience, blending performance and comfort to provide the perfect solution for customers seeking a practical, yet premium vehicle.
“This collaboration has been a significant turning point for us. The addition of these vehicles to our fleet highlights our commitment to providing exceptional, premium experiences for both business and leisure clients,” said Saleh Aljerwi, COO of Key Car Rental.
In 2014, Key Car Rental successfully facilitated more than 29,000 Audi rentals across Saudi Arabia, with a growing selection of models available for customers to choose from.
“This partnership with Key Car Rental has been instrumental in driving Audi’s growth in the region. As we continue to strengthen our presence, we are proud to offer a diverse fleet of vehicles that elevates the rental experience in Saudi Arabia for local customers and the increasing business travel and leisure tourism the Kingdom continues to enjoy,” said Simon Horabin, general manager of Audi Saudi Arabia.
Where We Are Going Today: Just Taco
If you are craving bold flavors and authentic Mexican street food, Just Taco in Riyadh is worth a visit. Known for its lively atmosphere and delicious menu, the restaurant combines casual dining with a fun twist.
The menu features flavorful choices such as the taco mix platter, offering a variety of tacos packed with authentic Mexican spices. For sharing, the loaded nachos are a hit, with crispy tortilla chips topped with gooey cheese, jalapenos and fresh pico de gallo.
Another standout is the cheesy fries with pulled beef, a hearty dish that combines creamy, savory and crunchy elements.
The food impresses with its freshness and quality, ensuring every bite is flavorful. With reasonable prices, it is an excellent spot to experience authentic Mexican cuisine.
Just Taco has quickly become a favorite for taco enthusiasts in Riyadh, offering consistent quality and memorable flavors.
The cozy ambiance, highlighted by vibrant green and yellow decor, creates a cheerful and welcoming vibe. Friendly staff further enhance the experience, making it a great choice for casual meals with friends or family.
One potential drawback is the shared-gender restroom, which may not suit everyone. However, the excellent food and lively atmosphere more than compensate for this.
For more information, visit their Instagram: @justtaco.sa.
