Posts Tagged ‘oil.opec.news.politics’

Call for record Opec output cut

December 17, 2008

Call for record Opec output cut

Saudi oil minister Ali al-Nuaimi

The Saudi oil minister wants non-members of Opec to cut output as well

Opec leaders are gathering in Algeria under pressure from Saudi Arabia to make their biggest ever single cut in output as prices plunge.

Saudi Arabia, the world’s largest oil producer, predicts the cartel will reduce production by a 2m barrels a day at its meeting.

Saudi oil minister Ali al-Nuaimi said he expected Opec non-members to cut output by 600,000 barrels per day.

Oil giant Russia, a non-member, will be represented at the meeting.

A combined cut of 2.6m barrels per day represents 3% of the global output.

Oil prices have slumped $100 from a peak of $147 a barrel in July, as demand weakened amid the downturn.

Expectation is high that oil producers are ready for co-ordinated actions to boost crude prices.

Source BBC