Kuwait ruled out on Tuesday another OPEC production increase but offered few clues on whether the organization would cut output when it meets again in January.
The market does not need a production increase, Kuwaiti oil minister Sheikh Saud Nasser al-Sabah said here Tuesday. "That's out of the question."
Market players are increasingly concerned that the Organization of Petroleum Exporting Countries (OPEC) may decide to pump less oil in January to avoid a price collapse when temperatures and demand drop in the spring.
But such a production cut might not be necessary, al-Sabah told a conference here hosted by the Energy Intelligence Group and the International Herald Tribune, called "Oil and Money."
"Let's see what happens in the first quarter" of 2001, al-Sabah said. "It's usually taken for granted that the market weakens in the second quarter, but now it is strong and it might not need any cuts."
Any decision to slow down the pumps would be taken in January, he said. "We, the producers have done our part to restore stability, now let the market forces set the prices."—AFP.
©--Agence France Presse.
© 2000 Mena Report (www.menareport.com)