Sputnik asked Francis Perrin, the chairman of SPE (Stratégies et Politiques Energétiques [Energy Strategies and Policies]) and the publisher and editorial manager of Arab Oil & Gas and Pétrole et Gaz Arabes for the insight into the current Riyadh-Washington politics.
It is very unlikely that Saudi Arabia would reconsider the contracts signed with US companies, whether in the oil and gas or arms sectors.
Saudi Arabia is not seriously considering large oil production cuts at a time when oil prices are higher than $80 per barrel and with the possibility of an oil shortage due to a rising world oil demand, declining Iranian exports and a falling Venezuelan production. Saudi Arabia is under strong US pressure in order to put more oil on world markets, not less. Saudi Arabia will definitely not spark an oil crisis. It would be totally contrary to its longstanding oil strategy and its national interest.
That being said the alliance between the US and Saudi Arabia, which is a very old and strong one, will survive. It began in 1945 and is based on three very simple words: oil and security. It remains valid in 2018 and beyond. Another key issue is a common perception of the Iranian threat.
