Saudi vows to satisfy world energy needs

RIYADH: Saudi Oil Minister Ali Al Naimi said yesterday that the kingdom will work to satisfy global energy markets and to “moderate” prices.

“We will provide the markets with what they need,” Al Naimi said on the sidelines of a ministerial meeting in Riyadh.

“We will work to moderate prices.”

Al Naimi warned that rising oil prices would affect economic growth across the globe, mainly in developing economies.

“Oil prices rose in March to levels not seen since 2008, which may adversely affect the global economy, particularly the economies of developing nations and emerging countries, as well as negatively impact global oil demand,” he said.

He said in a speech that Gulf oil-producing nations have succeeded in their efforts to stabilise oil markets.

“Our countries have exerted major efforts to restore global oil market stability, a feat that has actually been achieved. Stability has been restored and oil prices returned to levels which are suitable to both consuming and producing nations and to the global economy and its growth,” he said.

Saudi Arabia is likely to continue pumping crude at a 30-year highs of around 10 million barrels daily through October, Al Naimi said, helping compensate for a cut in exports from Iran, a fellow member of Opec.

Riyadh has support from Gulf allies Kuwait and the UAE in a campaign for lower prices that may raise complaints from others in Opec when the group meets to set output policy in December.

gulf-daily-news, October 10, 2012