INTERVIEW - Oil over $100 damaging, OPEC would act - Kuwait

KUWAIT Sun Apr 25, 2010 7:53pm IST

A motorist prepares to put fuel into her car at a petrol station in Melbourne July 3, 2008. REUTERS/Mick Tsikas/Files

A motorist prepares to put fuel into her car at a petrol station in Melbourne July 3, 2008.

Credit: Reuters/Mick Tsikas/Files

Related Topics

KUWAIT (Reuters) - OPEC would pump more oil to prevent a rally in oil prices above $100 from hurting the global economic recovery, Kuwait's oil minister said on Sunday.

Oil is well below the $100 a barrel mark, settling at just over $85 a barrel on Friday. For a month, oil has traded over the $70 to $80 level that many in OPEC have pegged as fair. But there was room for more upside before the producer group would respond, Sheikh Ahmad al-Abdullah al-Sabah told Reuters in an interview at a media event.

"If it's sustained above $100 that would damage the economic recovery," he said. When asked if OPEC would boost supply to prevent that, he replied "I would say so."

Current oil prices were acceptable to both producers and consumers, he said.

The oil market was oversupplied, but Kuwait had seen a sudden, surprising surge in demand from Asia that was absorbing some of the surplus, he said.

"I was surprised a little bit, to see a sudden surge," he said. "I was expecting to see the demand, but not at the same pace as we've seen lately."

The whole of Kuwait was sat on more oil than previously thought, not just the Burgan oilfield, Sheikh Ahmad said. He declined to give more details

Last week, a Kuwaiti official said Greater Burgan, the world's second-largest oilfield, was bigger than past estimates had indicated. (Reporting by Simon Webb and Eman Goma)

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.

  • Most Popular
  • Most Shared

Election 2014

REUTERS SHOWCASE

TCS Results

TCS Results

TCS net profit rises 51.5 percent, sees stronger sales growth.  Full Article | Quote 

Election 2014

Election 2014

Promises and more promises: India’s parties pitch their visions.  Full Article | Full Coverage 

India Markets

India Markets

Sensex slumps 207 points, at 2-1/2 week closing low.  Full Article 

Telecom Sector

Telecom Sector

RComm to raise mobile call tariff by up to 20 percent  Full Article 

Chinese Economy

Chinese Economy

China economic growth slows to 18-month low in first quarter  Full Article 

New Direction

New Direction

CEO Nadella pushes data culture at Microsoft.  Full Article 

Bitcoin ATM

Bitcoin ATM

China gets first bitcoin ATM, skirting bank crackdown.  Full Article 

Strong Sales Volume

Strong Sales Volume

Small is beautiful for Coca-Cola as volumes soar in China  Full Article 

Breakingviews

Breakingviews

Diageo throws money at Indian empire-building  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device.  Full Coverage