On 30/1/2024, Saudi Aramco announced that it had received directives from the Saudi Ministry of Energy to cut its planned maximum sustainable oil production capacity back to 12 million barrels per day (bpd) from 13 million bpd.
Although Aramco maintains an optimistic outlook regarding oil demand for 2024, other factors have affected their recent decision to cut back their daily production to 12 million bpd.
The following note highlights the following aspects:
- The reasons why Aramco is cutting its planned oil expansion
- Aramco's views on market trends
- Future of Aramco’s oil capital expenditure
- The fate of Aramco’s upcoming oil tenders
