Saudi energy minister: We won’t shock the oil market

Despite rising output by OPEC’s Middle Eastern producers, the group’s overall production has remained largely flat this year

Published: Updated:
Read Mode
100% Font Size
2 min read

Saudi Arabia's Energy Minister Khalid al-Falih said on Thursday the kingdom will not shock the oil market and will take a "gentle" approach as it wants long-term stability.

He also said he would listen to any proposal Iran brings to the table at an OPEC meeting later on Thursday.

Meanwhile, oil prices were steady on Thursday on mixed market signals ahead of an OPEC meeting in Vienna, which analysts said was not expected to result in restrictions on crude output.

International Brent crude oil futures were trading at $49.75 per barrel at 0657 GMT, up 3 cents from their last settlement, while U.S. West Texas Intermediate (WTI) crude was down 6 cents at $48.95 a barrel.

The Organization of the Petroleum Exporting Countries (OPEC) is set for another showdown between rivals Saudi Arabia and Iran when it meets on Thursday in the Austrian capital, with Riyadh trying to revive coordinated action or a formal oil output target, but Tehran refusing to cooperate.

“An output ceiling has no benefit to us,” said Iranian Oil Minister Bijan Zanganeh as the country tries to recoup lost market share following the lifting of sanctions against it in January.

Despite rising output by OPEC’s Middle Eastern producers, the group’s overall production has remained largely flat this year, currently standing at 32.5 million barrels per day (bpd), capped by disruptions especially in Nigeria, Libya and Venezuela.

Top Content Trending