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Saudi Arabia Cuts Oil Production by 20%

Published March 13, 2026, 14:11
Saudi Arabia Cuts Oil Production by 20%

Saudi Arabia has significantly reduced its oil production by approximately 2 million barrels per day, reaching around 8 million barrels per day. This reduction is linked to the conflict in Iran and the closure of the Strait of Hormuz by Tehran. Saudi Arabia has increased oil flows through the Yanbu port on the Red Sea as an alternative to the Strait of Hormuz, while production has been reduced at the Safaniya and Zuluf offshore oil fields. Sources indicate that Saudi Arabia's production has fallen even lower than 8 million barrels per day. In February, the country's total supplies to the market were 10.111 million barrels per day, while production stood at 10.882 million barrels per day. Other Middle Eastern countries, including Iraq, Qatar, Kuwait, the United Arab Emirates, and Saudi Arabia, have collectively reduced their production by at least 10 million barrels per day. The International Energy Agency warns that without a rapid restart of production, these losses could increase further. Iran has warned that international markets should prepare for oil prices that could reach $200 per barrel, highlighting the tension in the region and the potential impact on the global economy.