“Overall, the revised mandate represents a strategic response to market conditions, with implications for capex requirements, particularly in greenfield offshore developments. Despite the pause in capacity expansion, Saudi Arabia remains committed to maintaining its role in balancing the global oil market and ensuring supply stability. In summary, Saudi Arabia’s decision to maintain its maximum sustainable capacity at 12 million bpd reflects a nuanced response to market dynamics, with implications for future investments, the composition of its oil mix, and offshore activities.”

Rystad Energy Analyzes Saudi Arabia’s Pause in Oil Capacity Expansion Amid Market Uncertainty: Implications for Offshore Projects and Supply Stability  [Solar Quarter]