Global energy security is under threat warns IEA, OPEC to meet today

Global energy security is under threat warns the International Energy Agency as crude prices soar past the $110/bbl mark even as the mega oil alliance OPEC meets on Wednesday. Experts however have little expectation of support from the Saudi Arabia led coalition to take action to negate supply hit from Russia.

The OPEC bloc led by Saudi Arabia, the group’s largest oil producer, while Russia is the biggest player among the non-OPEC countries, the alliance, controls half of global crude supply. Russia and Saudi Arabia both contribute 23.9% each into the total OPEC production.

Goldman Sachs analysts said that oil prices are "entering political intervention territory." But the Arab world has thus far not taken a position in the Ukraine crisis even as US President Joe Biden is facing pressure cut off U.S. imports of Russian oil and gas to escalate the cost to Russia, but US has little reassurance from ex-Russia oil producers to fill the gap.

Riyadh, Abu Dhabi and also Egypt, have become weary of the lack of commitment of Washington as a military and economic partner. Arab sovereign wealth funds are increasingly investing in Russia, China and Asia, while Russian investments in ports and industrial zones, such as along the Suez Canal, have a political impact too.