/ 13 December 2006

Saudi oil minister hints at Opec output cut

Saudi Arabian Oil Minister Ali al-Nuaimi said on Wednesday that the Organisation of the Petroleum Exporting Countries (Opec) had “a little more work to make the market even more stable”, a hint the oil exporters’ group might cut its output at a ministerial meeting on Thursday.

“The fundamentals of the market are much better than they were in October and I think the market is moving towards better stability.

“We probably have a little more work to make the market even more stable,” he said.

Opec members had appeared uncertain in recent days about the need for another cut, but the comments by Nuaimi, the most influential of the 11 Opec representatives, makes further action likely.

Opec, whose members regulate their oil exports to influence the price of oil, took a decision in Qatar in October to cut their output by 1,2-million barrels per day.

“We made a good decision in Doha,” Nuaimi said, referring to the Qatari capital. — AFP