RIYADH, Sept 8 (NNN-SPA) – The Saudi Arabian energy minister said, the decision of the Organisation of the Petroleum Exporting Countries (OPEC) and its allies, a group known as OPEC+, to reduce oil production, is aimed to promote market stability.
The decision showed that the organisation was attentive, pre-emptive and proactive in supporting the market’s stability, to the benefit of the industry, Abdulaziz bin Salman was quoted as saying.
This was a reversion to the production level of Aug, and the addition of the 100,000 barrels in Sept was always intended as a measure for that month only, he explained.
“We are seeing mixed signals in relation to economic growth from different parts of the world, and there has been a tendency towards exaggeration in some of the negative analyses of the global economic situation,” the Saudi minister said.
Data indicates recessions with limited oil demand contractions, or even demand growth in recession years, as in 1991, he added.
On Sept 5, the OPEC+ decided to cut crude production by 100,000 barrels per day in Oct, from its Sept level, according to an OPEC statement, released after the 32nd OPEC and non-OPEC Ministerial Meeting.
