الرئيسية
their first new output agreement in three years in a deal that
settles a 6-month-old argument over supply policy firmly in Saudi
Arabia's favor.
The Organization of the Petroleum Exporting Countries agreed a target
of 30 million barrels daily, ratifying current production near 3-year
highs. It did not discuss individual national quotas.
The deal vindicates Saudi Arabia after its proposal to raise output
in June to stem rising prices was rejected by price hawks led by Iran,
Algeria and Venezuela.
"For the Saudis it's a fantastic decision," said Jamie Webster of Washington consultancy PFC Energy.
Saudi said it pumped 10 million barrels a day last month, 25 percent
above its old OPEC quota, in what Gulf delegates said was a
demonstration of strength to the price hawks ahead of the meeting.
In theory the agreement caps output for all 12 OPEC members for the
first half of 2012 at levels that should permit a modest rebuilding of
lean global inventories.
"We're not going to bypass it, we're going to adhere to it," promised
OPEC Secretary General Abdullah al-Badri of the new supply limit.
"Saudi Arabia will abide by this decision for sure."
That will depend on whether or not Saudi and its Gulf Arab allies
decide to ease back supply as post-civil war Libya heads towards full
production or keep the taps open to drive oil below $100 a barrel.
Saudi Arabia did not allay doubts about its intentions.
"If Libya increases it doesn't necessarily mean Saudi will cut," said
Saudi Oil Minister Ali al-Naimi. "We don't react to that, we react to
market demand," he said.
settles a 6-month-old argument over supply policy firmly in Saudi
Arabia's favor.
The Organization of the Petroleum Exporting Countries agreed a target
of 30 million barrels daily, ratifying current production near 3-year
highs. It did not discuss individual national quotas.
The deal vindicates Saudi Arabia after its proposal to raise output
in June to stem rising prices was rejected by price hawks led by Iran,
Algeria and Venezuela.
"For the Saudis it's a fantastic decision," said Jamie Webster of Washington consultancy PFC Energy.
Saudi said it pumped 10 million barrels a day last month, 25 percent
above its old OPEC quota, in what Gulf delegates said was a
demonstration of strength to the price hawks ahead of the meeting.
In theory the agreement caps output for all 12 OPEC members for the
first half of 2012 at levels that should permit a modest rebuilding of
lean global inventories.
"We're not going to bypass it, we're going to adhere to it," promised
OPEC Secretary General Abdullah al-Badri of the new supply limit.
"Saudi Arabia will abide by this decision for sure."
That will depend on whether or not Saudi and its Gulf Arab allies
decide to ease back supply as post-civil war Libya heads towards full
production or keep the taps open to drive oil below $100 a barrel.
Saudi Arabia did not allay doubts about its intentions.
"If Libya increases it doesn't necessarily mean Saudi will cut," said
Saudi Oil Minister Ali al-Naimi. "We don't react to that, we react to
market demand," he said.