JEDDAH, 3 July 2006 — Saudi Arabia’s top oil body has said it cannot see any shortages in crude supplies in the world’s markets and blamed a problem with refinery for the world’s high oil prices. Following a meeting of the Supreme Council for Petroleum and Minerals presided by Custodian of the Two Holy Mosques King Abdullah at Al-Salam palace in Jeddah yesterday, Muttalib ibn Al-Nafisah, secretary general of the council and member of the council of ministers, told the Saudi Press Agency, “The council realizes that the current rise in oil prices stems from various factors such as the lack of advanced refining capacity and is not the result of any shortage in crude supply.” The supreme council, which was also attended by Crown Prince Sultan, the deputy premier and minister of defense and aviation, was pleased about the balance of supply and demand in oil with the rise in world crude stocks to levels not seen for many years. Outlining oil policy over the next year, the council said Saudi Arabia wanted a stable oil market in the short and long term and would increase production capacity gradually in accordance with rising global demand.