Trump’s energy secretary says average oil prices will be lower
Power prices are scheduled to be lower under the current US administration compared to the previous car, according to US Energy Minister Chris Wright.
“Under the leadership of president Trump in the next four years, we will definitely see the decline in medium energy prices from what we saw in the past four years of the previous administration,” Wright told a press conference with journalists in his head. He refused to comment on specific price goals.
Under Biden’s leadership, the United States was repeatedly exposed to the Kingdom of Saudi Arabia after the United States felt that it was begged to increase production and low prices to deal with inflation. The average crude was about $ 83 a barrel between 2017 and 2021, according to the data collected by Bloomberg.
“I cannot comment on the location of oil prices today or where you go, but if you reduce the barriers that prevent investment, and reduce the barriers that prevent the construction of the infrastructure, you can reduce the costs of energy supply,” said Wright.
Oil prices recently decreased after the Kingdom of Saudi Arabia and other oil -producing countries pledged to increase production, and Trump shook the markets with wide definitions. The crude decreased to less than $ 65 a barrel, and its lowest level since the Korona virus pandemic and much less than the level in which the Kingdom of Saudi Arabia balances its budget. This can threaten the Kingdom’s ability to continue financing the extensive economic transformation plans, according to Coldman Sachs.
However, the United States and the Kingdom of Saudi Arabia are face to face on energy markets. “President Trump – and I believe that the Kingdom – wants to see an increase in energy demand all over the world and we want to see the increase of supply.”
Wright said that the United States and the Kingdom of Saudi Arabia are also working on a preliminary agreement to cooperate on civil nuclear energy production and expect progress this year. He said that the two countries are on a “path” of an agreement that involves not spreading and controlling nuclear technologies.
Wright said the Kingdom will need to sign a so -called 123 agreements, which cover areas including nuclear proliferation and technology transport issues. The United States also considers it “decisive” that Saudi Arabia is not seeking a partnership with China on developing its nuclear program.
He said: “This opinion is shared in the two countries and the fact that this may be in doubt that the unproductive relations between the United States and the Kingdom of Saudi Arabia over the past few years.”
The Kingdom of Saudi Arabia had previously sought requests from foreign developers, including Russian and Chinese companies, as well as French and South Korean companies, to build nuclear energy reactors.
According to the Biden Administration, the American cooperation in the nuclear energy program in the Kingdom of Saudi Arabia was launched as part of a broader deal that would see that the two countries sign a defensive agreement and deepen trade relations. It would have included the Kingdom of Saudi Arabia to agree to normalize relations with Israel. However, its path after the October 7 attacks on Israel by Hamas and Israel came out of the military response.
Wright was in Riyadh as a tour in many countries of the Middle East, which included meetings with Saudi Energy Minister Prince Abdulaziz bin Salman.
This story was originally shown on Fortune.com
2025-04-13 23:15:00
