Saudi Arabia regains position as world’s top oil exporter

Workers at an Aramco onshore rig. Saudi Arabia exported nearly 11 million barrels of oil per day in April. (Aramco)
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Updated 17 June 2020
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Saudi Arabia regains position as world’s top oil exporter

  • Kingdom knocks US off top spot it gained last year
  • IEA forecasts less dramatic fall in demand

DUBAI: Saudi Arabia has emerged from three months of oil market volatility as the world’s biggest oil exporter once more, knocking the US off the top slot it gained last year.

Industry experts calculated that in April — when oil prices crashed because of pandemic lockdowns — the Kingdom exported nearly 11 million barrels of oil per day, a record, and the US about 8.6 million barrels.

Both countries’ exports fell in May, after the historic OPEC+ deal to cut output, but the Kingdom was still ahead.

The trend is likely to continue for most of this year, as American production suffers from shut-ins and bankruptcies in its price-sensitive shale oil operations, despite continuing Saudi cuts.

“Over the course of the second quarter of 2020 as a whole Saudi Arabia ought to easily stay ahead of the chasing pack,” said the Middle East Economic Survey, which published the figures compiled by industry experts.

The US overtook Saudi Arabia as the world’s top exporter in the middle of last year. Since the price of the US benchmark, West Texas Intermediate, collapsed in April, many shale producers have cut back on their “rig count” and some have filed for bankruptcy.

Oil prices shrugged off weekend worries over a possible second wave of virus infection in China. Brent crude, the global benchmark, rose back above $40, while West Texas Intermediate stood at $37.

A report from the International Energy Agency forecast a less dramatic fall in 2020 oil demand than expected. Demand would be 91.7 million barrels per day, about 500,000 more than the agency’s previous forecast, but still the biggest fall in history. There would be no recovery in pre-pandemic air fuel demand until 2022 because of the “dire situation” in the aviation industry, the IEA said.

In China, oil demand had recovered fast in March and April, and Indian demand rose sharply in May. “While the oil market remains fragile, the recent modest recovery in prices suggests that the first half of 2020 is ending on a more optimistic note,” the agency said.

“Initiatives in the form of the OPEC+ agreement and the meeting of G20 energy ministers have made a major contribution to restoring stability to the market.”

The joint ministerial monitoring committee of the OPEC+ alliance meets at the end of this week to assess compliance with agreed cuts, amid some speculation that they could be extended for at least another month.


‘Adopt a Coral’ community restoration initiative unveiled

Updated 2 min 44 sec ago
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‘Adopt a Coral’ community restoration initiative unveiled

  • SHAMS has developed the program using proven scientific methods for identifying damaged reef areas
  • The project represents a significant step in Saudi Arabia’s marine conservation efforts

RIYADH: A new environmental initiative aimed at directly involving local communities in coral reef rehabilitation will be launched on Saturday.

The innovative “Adopt a Coral” scheme, by the General Organization for the Conservation of Coral Reefs and Turtles in the Red Sea (SHAMS), will also promote awareness of marine ecosystem preservation.

The project represents a significant step in Saudi Arabia’s marine conservation efforts, supporting Vision 2030 sustainability goals and the Saudi Green Initiative’s mission to prevent ecosystem decline and protect biodiversity.

SHAMS has developed the program using proven scientific methods for identifying damaged reef areas and implementing cutting-edge rehabilitation techniques. The organization’s track record includes successful long-term monitoring systems that measure ecosystem recovery over extended periods.

The initiative offers a range of opportunities for those taking part, from hands-on coral seedling planting to educational workshops addressing major reef threats, including climate change and marine pollution. It particularly targets Saudi Arabia’s diving community as active contributors to reef monitoring and public education efforts.

Central to the program is a symbolic adoption concept, where participants take responsibility for specific coral sections.

Initial implementation will focus on selected Red Sea coastal sites, with gradual expansion planned to maximize both long-term environmental impact and sustainable community involvement.

As environmental pressures mount, “Adopt a Coral” initiative offers a practical model for community-based conservation of the fragile underwater habitats and reflects SHAMS’s broader mission to transform environmental protection into tangible community action.


Greece to adopt legislation against migrant ‘invasion’ from Libya

Updated 18 min 59 sec ago
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Greece to adopt legislation against migrant ‘invasion’ from Libya

  • Conservative lawmakers are expected to approve emergency legislation enforcing the temporary ban
  • Proposed law to allow authorities to detain asylum seekers in camps for up to 18 months

ATHENS: Greece on Friday was to enforce a three-month freeze on asylum claims from migrants arriving by boat from North Africa, to stem a surge from Libya that the government has called an “invasion.”

Conservative lawmakers, who hold a parliamentary majority, are expected to approve emergency legislation enforcing the temporary ban, allowing authorities to detain asylum seekers in camps for up to 18 months.

“We have made the difficult but absolutely necessary decision to temporarily suspend the examination process of asylum applications for those arriving by sea from North African countries,” Greek Prime Minister Kyriakos Mitsotakis said in a statement to German tabloid Bild on Friday.

“This decision sends a clear message, leaving no room for misinterpretation, to human trafficking networks: Greece is not an open transit route. The journey is dangerous, the outcome uncertain, and the money paid to smugglers ultimately wasted,” he said.

Greece’s migration ministry says over 14,000 migrants have reached the country this year, including over 2,000 in recent days from Libya.

“Greece cannot have boats totaling 1,000 people a day,” Migration Minister Thanos Plevris told Skai TV, adding that the country will undertake a “draconian revision” of how it deals with migrants.

Plevris – formerly a member of the far-right LAOS party and now part of Mitsotakis’s New Democracy party – has called the recent influx an “invasion from North Africa.”

The move has been criticized by rights groups as a violation of international and EU law, and opposition parties have called it unconstitutional.

Noting an “exceptional” situation, European Commission migration spokesperson Markus Lammert said on Thursday: “We are in close contact with the Greek authorities to obtain necessary information on these measures.”

Greece took similar steps in 2020 during a migration surge at its land border with Turkiye.

To manage the influx, the government could reopen camps built after the 2015 migration crisis, government spokesman Pavlos Marinakis said this week.

Mitsotakis also told parliament that it would build up to two additional camps on the island of Crete.


Islamabad, Moscow sign protocol to restore and modernize Pakistan Steel Mills

Updated 22 min 59 sec ago
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Islamabad, Moscow sign protocol to restore and modernize Pakistan Steel Mills

  • The Pakistan Steel Mills has been non-operational since 2015 due to years of financial mismanagement, political interference and mounting losses
  • Both sides discussed plans to modernize the major steel complex on the sidelines of the recent INNOPROM Annual Industrial Forum in Yekaterinburg

ISLAMABAD: Pakistan and Russia have signed a protocol to restore and modernize the Pakistan Steel Mills (PSM) in Karachi, Pakistani state media reported on Friday.

The development comes days after the two sides discussed plans to modernize the major steel complex and expand industrial cooperation on the sidelines of the INNOPROM Annual Industrial Forum in Yekaterinburg.

INNOPROM, Russia’s largest annual industrial trade fair, brings together government delegations, business leaders and technology firms from over 30 countries to explore partnerships in manufacturing, engineering and high-tech industries.

The protocol was signed at the Pakistan Embassy in Moscow by Pakistan’s Secretary of Industries and Production Saif Anjum and Russian General Director of Industrial Engineering LLC Vadim Velichko, reaffirming the long-standing industrial partnership.

“The project aims to restart and expand steel production [in Pakistan], marking a new chapter in bilateral cooperation,” read a report on Radio Pakistan broadcaster.

The PSM, once Pakistan’s flagship industrial complex, was built in the 1970s with Soviet assistance. While it symbolized national self-sufficiency, the mill has been non-operational since 2015 due to years of financial mismanagement, political interference and mounting losses.

Moscow is also expected to finalize an agreement with Islamabad this summer to construct a new steel mill in Karachi, Russian Consul-General Andrey B. Fedorov told Arab News this month.

Technical experts from Russia have already inspected the proposed site for the new facility, and another delegation is expected soon to draft a detailed roadmap.

Russia has a long history of industrial cooperation with Pakistan, having previously built key infrastructure projects such as the Guddu Power Station in Sindh in the 1980s, one of the country’s major electricity producers.
Moscow and Islamabad have expanded cooperation in recent years despite global tensions over the war in Ukraine.


Kremlin says it awaits ‘major statement’ from Trump

Updated 26 min 6 sec ago
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Kremlin says it awaits ‘major statement’ from Trump

  • Trump has expressed frustration with Russian President Vladimir Putin over the Russia-Ukraine conflict

MOSCOW: Russia is awaiting the “major statement” that US President Donald Trump announced he would deliver on Monday, Kremlin spokesman Dmitry Peskov said on Friday.

Trump told NBC News on Thursday that he will make a “major statement” on Russia on Monday, without elaborating what it will be about.

In recent days, Trump has expressed frustration with Russian President Vladimir Putin over the Russia-Ukraine conflict.

When asked about the new NATO weapons deliveries to Ukraine, Peskov called it “just business” as Kyiv had already been receiving weapons prior to this development.


Ladder of the Holy Kaaba: A symbol of care for the holiest of sites

Updated 38 min 17 sec ago
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Ladder of the Holy Kaaba: A symbol of care for the holiest of sites

  • The ladder of the Holy Kaaba represents a unique piece that has witnessed, over the past 25 years, the occasions of washing the Kaaba

Makkah: The ladder of the Holy Kaaba represents a unique piece that has witnessed, over the past 25 years, the occasions of washing the Kaaba and has remained present throughout, reflecting the great care for the holiest site, SPA reports.

The General Authority for the Affairs of the Grand Mosque and the Prophet’s Mosque explained that the ladder, which was brought in 2000, is powered by 24 batteries.

At its top, it includes a platform to illuminate the interior of the Holy Kaaba, along with central air-conditioning vents for cooling the inside of the Kaaba. It also contains three tanks for air-conditioning water, one tank designated for washing the Kaaba, and another for return water.

The General Authority said that it has provided all advanced technologies, including those used in crafting the Kaaba’s ladder, which was made from teak wood, the finest type of wood, with a length of 5.65 meters, a height of 4.80 meters, a width of 1.88 meters, and a weight of 6,500 kg.

According to SPA, this comes as part of the General Authority’s commitment to providing all advanced technologies for the components of the Holy Kaaba, in line with the directives of the leadership.