OPEC Decision on June 3

AMSTERDAM, 23 May 2004 — OPEC yesterday expressed “deep concern” about rocketing world oil prices, saying it wanted to cut fuel costs to support world economic growth.

But the Organization of the Petroleum Exporting Countries President Purnomo Yusgiantoro said a decision on raising supplies would wait until a full meeting in Beirut on June 3.

Informal talks in Amsterdam made no recommendation on a Saudi proposal to lift quota limits by at least 8.5 percent to bring US crude prices down from $40 a barrel.

Before the meeting, Saudi Petroleum and Mineral Resources Minister Ali Al-Naimi said the Kingdom had the capacity to raise its oil output to 10.5 million barrels per day from its current production quota of about 7.6 million.

Asked how much oil Saudi Arabia was capable of producing, Naimi said “ten and a half” million barrels per day, an output which could add some three million bpd to global production. He reiterated the Kingdom’s determination to get an agreement to boost oil supplies and ease prices.

“Never doubt what Saudi Arabia says,” he told journalists.