Saudis urge action to curb oil prices

Saudi Oil Minister Ali Naimi urged OPEC to raise its production ceiling by 1.5 million barrels a day when it meets on June 3.

“The kingdom believes that increasing the OPEC production ceiling is essential to keep supply and demand balanced,” Naimi said in a statement.

He added the increase should “not be less that 1.5 million barrels a day”.

The Organisation of Petroleum Exporting Countries currently has an official ceiling of 23.5 million barrels a day.

Naimi said he would discuss the market situation with other OPEC members at the International Energy Forum in Amsterdam on May 22-24.

He said recent price increases, which have seen world prices rise dramatically, were a “major concern” to Saudi Arabia, the biggest producer in the OPEC cartel.

“We do not want to see prices rise to the level that they negatively affect the growth of the international economy or the demand for oil,” he said.