Russia's Novak Warns of Deep Global Oil Market Crisis
Deputy PM says huge volumes of oil not entering market, demand exceeds supply due to Middle East tensions
Quick Look
- Russian Deputy Prime Minister Alexander Novak warned that the global oil market is experiencing a deep crisis with large volumes of oil not reaching the market.
- Speaking in Mineralnye Vody, Novak said demand significantly exceeds supply due to serious logistical difficulties and the Middle East situation, noting this forces consumers to seek alternative sources due to high prices.
AI-generated summary
MINERALNYE VODY, April 30. /TASS/. The global oil market is experiencing a deep crisis, with large volumes of oil not reaching the market, Russian Deputy Prime Minister Alexander Novak told reporters.
"Therefore, we see that a profound crisis in the industry continues. A huge amount of oil is not entering the market today. Demand significantly exceeds supply. Of course, we see an imbalance due to serious logistical difficulties and the situation in the Middle East," he said.
Novak noted that all this is negatively impacting the market, "but overall, we believe that this is also not a positive factor for the oil industry, because consumers are forced to seek alternative sources due to high prices."
"Therefore, it would be more appropriate for the market to be balanced and long-term focused for both consumers and producers," he concluded.
The US and Israel launched a war against Iran on February 28.
