RIYADH, 3 September — Minister of Petroleum and Minerals Ali Al-Naimi denied yesterday that the Kingdom had decided to press fellow OPEC members to hike output, saying such talk was premature and should be left to the group’s next meeting.
“Talking now about what decisions OPEC will take during its next meeting is premature,” Naimi said in a statement. “The process of amending production ceiling and levels takes place at the meeting of OPEC ministers and after consultations to take an appropriate decision based on the situation then and with the unanimity of all members,” he said.
“Therefore, the talk about a definite position by the Kingdom (regarding production levels) is not true,” the minister added. Naimi’s remarks came amid reports that Saudi Arabia may be set to press for an increase in production and that the organization may agree to hike output by 800,000 barrels a day.
But Venezuelan President Hugo Chavez said on Saturday that OPEC is unlikely to increase oil production when it next meets in Osaka, Japan, on Sept. 19. His comments were backed up by OPEC President Rilwanu Lukman, who reportedly said the producer group should be wary of pumping too much more oil into the world market.
The minister reiterated that the Kingdom’s oil policy was “always focused on the stability of the international oil markets by balancing supply and demand.”
Saudi oil policy is also aimed at “the stability of oil prices at a level suitable for both producers and consumers to serve the international economy and sustained growth,” Naimi added.
