Saudi Arabia extends cut in oil it sends to the world in bid to boost prices

LONDON (AP) — Saudi Arabia will extend a cut in the amount of oil it sends to the world after a series of previous reductions by members of the OPEC+ alliance of major producing countries failed to prop up prices.

That's been a good thing for United States drivers, who have been able to fill their gas tanks for less money in recent months.

But it's bad news for OPEC+ countries whose oil income bolsters their economies and who have faced setbacks in pushing prices higher despite initial fears that the Israel-Hamas war could affect oil flows.

The Saudi Energy Ministry said in a statement on its website that its voluntary cut of one million barrels per day will stay in place through the first three months of next year.

It had been due to expire after the end of the year and comes on top of other sweeping cuts made by OPEC+ and individual countries.

The reductions have not made lasting changes to oil prices because of concerns about oversupply in a weakening global economy, which could weigh on the thirst for oil for travel and industry.

Saudi Arabia's announcement came after the OPEC oil cartel and allied nations like Russia met in an online meeting about global oil production — the same day the UN climate conference kicks off in the United Arab Emirates, an OPEC member.

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