Saudi Arabia to boost oil supplies as Trump tightens Iran sanctions

Saudi Arabia said on Monday it could coordinate with other oil producing countries to provide an adequate crude supply and ensure a balanced market after the US announced it would end waivers given to buyers of Iranian oil.

The US will no longer grant sanctions exemptions to nations buying oil from Iran, US President Donald Trump announced on Monday.

The White House said that Saudi Arabia and the UAE - both regional rivals of Iran - would work to make up the difference in oil to ensure that global markets do not suffer.

"Saudi Arabia is closely monitoring the oil market developments following the recent statement from the US government regarding oil export sanctions on Iran," Saudi Energy Minister Khalid al-Falih said in a statement according to Reuters.

"Saudi Arabia will coordinate with fellow oil producers to ensure adequate supplies are available to consumers while ensuring the global oil market does not go out of balance."

President Donald Trump also said Saudi Arabia would boost supplies to balance the market.

"Saudi Arabia and others in OPEC will more than make up the Oil Flow difference in our now Full Sanctions on Iranian Oil. Iran is being given VERY BAD advice by @JohnKerry and people who helped him lead the U.S. into the very bad Iran Nuclear Deal. Big violation of Logan Act? Trump tweeted.

Eight countries were initially given six-month reprieves from unilateral US sanctions on Iran introduced under Trump.

They include India, which has warm ties with Washington but disagrees on the US insistence that Iran is a threat, and China and Turkey, threatening new friction in contentious relationships if the US goes ahead with sanctions over buying Iranian oil.

The others - Greece, Italy, Japan, South Korea and Taiwan - have already heavily reduced their purchases from Iran.