Possible Saudi to increase oil production

ali_al-naimi.jpg UN Secretary-General Ban Ki-moon says major oil producer Saudi Arabia views current prices as abnormally high.  He also said that the country, the leading producer in the OPEC cartel of oil output nations, is willing to take action to bring prices down.  Mr Ban was speaking after a meeting with the Saudi monarch, King Abdullah.  Oil prices fell on Friday after reports that Saudi Arabia might boost oil production. US light, sweet crude was trading at US$134.86 in New York.

On Friday, the Saudi oil minister said current elevated oil prices – which hit a record high of more than US$139 dollars a barrel last week – were unjustified.  Oil minister Ali al-Naimi said a meeting of oil exporters and importers to be held in Jeddah later this month would seek a solution to the nprecedented high prices.  It has been predicted that the Saudis plan to raise output next month by about 500,000 a day will push output to 10 million barrels.