VIDEO – Russia assumes greater control over OPEC: MBS concedes power – Oil Prices and Budget to improve
By Max Alesund
By Max Alesund – July 9, 2019
“There’s another very important piece of news of the week. The agreement between President Putin and Saudi Crown Prince Mohammad bin Salman Al Saud reached at the G20 in Osaka to agree on a single position to extend the OPEC+ deal to stabilize world oil prices, was implemented.” – Vesti
Bloomberg (that is, the source of information used by Western bankers, financiers, investors and Finance officials) describes the situation in very different colors. For example, in a review of June 29, Bloomberg reported:
“Russia has completed the acquisition of OPEC deal with the Saudis. <…> Three years have passed (since the beginning of cooperation between OPEC and Russia. — Primas’. auth.), and Russia’s seizure of OPEC is almost complete. Decisions about production are no longer being discussed between the energy Ministers of OPEC at the apartment luxurious hotels of Vienna are not announced to the waiting world headquarters of OPEC is around the corner. They are determined in advance by Putin and the crown Prince of Saudi Arabia.”
If you look at the extension of the oil deal in the format of OPEC + Russia (or, as sometimes written in the West, the format has ROPEK) the eyes of the American and European diplomats, the problems that it creates are not only of an economic nature (for example, the European Union and the United States do not want high oil prices), but have strong geopolitical implications. The fact is that the West is still moving narrative that Russia — a kind of tired and sick bear, which is slowly dying out of life, that is, a country with a falling population, declining economy and disappearing technological capabilities, turned out because of the “bad behavior” of the Russian leadership (which usually means the adoption of the Crimea into the Russian Federation) almost total diplomatic isolation.
However, this does not fit in with the surrounding reality: the sharply increased influence of Russia in OPEC, which in theory should listen to Washington, not to Moscow, tears this narrative to shreds. Because “fading regional powers” by definition can not displace the influence of the world hegemon on the main energy cartel of the planet.