US President Donald Trump says the king of Saudi Arabia has agreed to increase oil production by "maybe up to 2,000,000 barrels" to offset declines from Iran and Venezuela, but the Saudis have not confirmed the claim.
Trump made the boast on Twitter on Saturday following a telephone call with King Salman in which the two discussed rising oil prices.
Saudi authorities acknowledged that the two leaders had a conversation but had no immediate comment on its substance.
Crude prices have risen 12% in the last two weeks as the US has signalled it will aggressively enforce sanctions aginst Iran, Opec's third-largest oil supplier.
Saudi Arabia, meanwhile, is planning to pump as much as 11 million barrels per day (bpd) of oil this month, about 1 million more than it is producing now, an industry source told Reuters this week.
Opec producers led by Saudi Arabia agreed with Russia and other oil producers on June 22 to raise output by about 1 million bpd to offset declines from Iran and nearly bankrupt Venezuela.
Trump tweeted: "Just spoke to King Salman of Saudi Arabia and explained to him that, because of the turmoil & disfunction in Iran and Venezuela, I am asking that Saudi Arabia increase oil production, maybe up to 2,000,000 barrels, to make up the difference ... Prices to high! He has agreed!"
The Trump administration is pushing countries to cut all imports of Iranian oil from November when the United States reimposes sanctions against Teheran, after Trump withdrew from a 2015 nuclear deal agreed between Iran and six major powers, calling it a "defective" agreement.
US officials are pressing allies in Europe, Asia and the Middle East to adhere to the sanctions, which are aimed at pressuring Iran to negotiate a follow-up agreement to halt its nuclear programmes.
China, the world's top crude oil buyer, imported around 655,000 barrels a day on average from Iran in the first quarter of this year, according to official Chinese customs data, equivalent to more than a quarter of Iran's total exports.
Oil analysts said Opec producers may not be able to fully supply the market if Iranian oil is cut from the market.
Just spoke to King Salman of Saudi Arabia and explained to him that, because of the turmoil & disfunction in Iran and Venezuela, I am asking that Saudi Arabia increase oil production, maybe up to 2,000,000 barrels, to make up the difference...Prices to high! He has agreed!
— Donald J. Trump (@realDonaldTrump) June 30, 2018
