Qatar Says It Is Ready to Reduce Oil Output by 20,000 BPD
June 9, 1998 - 0:0
DOHA - Qatar said Sunday it was ready to reduce its crude oil production by 20,000 barrels per day (bpd) starting July 1 to support efforts to cut worldwide production and boost sagging oil prices. Qatar's Minister for Energy and Industry Abdallah Ibn Hamad al-Attiya told visiting Saudi Oil Minister Ali al-Nuaimi of Qatar's readiness to reduce its production by 20,000 bpd beginning July 1, the official Qatari news agency QNA said.
The two officials met during a stop-over by the Aaudi minister at Doha airport as Nuaimi made a regional tour. Later in the day, Nuaimi went to Abu Dhabi, where he met with the Oil Minister of the United Arab Emirates (UAE), Obeid Ibn Saif al-Nassiri on the situation in the oil market, the official UAE news agency WAM reported without giving more details.
In his meeting with Qatar's oil minister, the Saudi official also discussed the agreement concluded last week in Amsterdam between Saudi Arabia, Mexico, and Venezuela to cut production. Under last week's accord, Saudi Arabia and Venezuela, both OPEC members, would reduce their output by 225,000 and 125,000 bpd respectively, while Mexico, which is outside the group, would cut its by 100,000 bpd.
Qatar's quota for oil production as an OPEC member is near 414,000 bpd, but it has been accused of exceeding that amount. Qatar reduced its production by 30,000 bpd in March to support an earlier accord between the same three countries in Riyadh to cut output. On March 22, the Saudi, Mexican and Venezuelan oil ministers decided to reduce their oil production together by 500,000 bpd, and recommended cutting worldwide production by 1.6 to two million bpd.
Before coming to Doha, the Saudi official visited Oman, a non-OPEC member, which he also asked to support the Amsterdam accord. Nuaimi made the request to Omani Oil Minister Mohammed Ibn Hamad al-Romhi during a short visit to Muscat at the start of a Persian Gulf tour, the official news agency ONA reported. Oman produces around 900,000 bpd after agreeing to cut its output by 30,000 bpd in April. Oil ministers from the regional (Perisan) Gulf Cooperation Council (P)GCC) are due to meet in Riyadh on June 16.
The (P)GCC groups Kuwait, Qatar, Saudi Arabia and the United Arab Emirates, all members of the Organization of Oil Exporting Countries, with non-OPEC Bahrain and Oman. Kuwaiti Oil Minister Saud Nasser al-Sabah said Saturday that Kuwait supported action to boost oil prices but that any measures would have to wait until the (P)GCC oil ministers' meeting. The announcement of Thursday's Amsterdam agreement had an immediate effect on world markets, bringing the price of light sweet crude on the New York futures market up from $14.81 a barrel Wednesday to $15.12 for July delivery.
(AFP)
The two officials met during a stop-over by the Aaudi minister at Doha airport as Nuaimi made a regional tour. Later in the day, Nuaimi went to Abu Dhabi, where he met with the Oil Minister of the United Arab Emirates (UAE), Obeid Ibn Saif al-Nassiri on the situation in the oil market, the official UAE news agency WAM reported without giving more details.
In his meeting with Qatar's oil minister, the Saudi official also discussed the agreement concluded last week in Amsterdam between Saudi Arabia, Mexico, and Venezuela to cut production. Under last week's accord, Saudi Arabia and Venezuela, both OPEC members, would reduce their output by 225,000 and 125,000 bpd respectively, while Mexico, which is outside the group, would cut its by 100,000 bpd.
Qatar's quota for oil production as an OPEC member is near 414,000 bpd, but it has been accused of exceeding that amount. Qatar reduced its production by 30,000 bpd in March to support an earlier accord between the same three countries in Riyadh to cut output. On March 22, the Saudi, Mexican and Venezuelan oil ministers decided to reduce their oil production together by 500,000 bpd, and recommended cutting worldwide production by 1.6 to two million bpd.
Before coming to Doha, the Saudi official visited Oman, a non-OPEC member, which he also asked to support the Amsterdam accord. Nuaimi made the request to Omani Oil Minister Mohammed Ibn Hamad al-Romhi during a short visit to Muscat at the start of a Persian Gulf tour, the official news agency ONA reported. Oman produces around 900,000 bpd after agreeing to cut its output by 30,000 bpd in April. Oil ministers from the regional (Perisan) Gulf Cooperation Council (P)GCC) are due to meet in Riyadh on June 16.
The (P)GCC groups Kuwait, Qatar, Saudi Arabia and the United Arab Emirates, all members of the Organization of Oil Exporting Countries, with non-OPEC Bahrain and Oman. Kuwaiti Oil Minister Saud Nasser al-Sabah said Saturday that Kuwait supported action to boost oil prices but that any measures would have to wait until the (P)GCC oil ministers' meeting. The announcement of Thursday's Amsterdam agreement had an immediate effect on world markets, bringing the price of light sweet crude on the New York futures market up from $14.81 a barrel Wednesday to $15.12 for July delivery.
(AFP)