KUWAIT (Reuters) – Kuwait would not hesitate to cut oil output to reduce a surplus on markets if OPEC decides so at its meeting next month, Kuwaiti Oil Minister Mohammad al-Olaim was quoted as saying on Sunday by state news agency KUNA.
“Kuwait would not hesitate to support the global oil market and … would reduce its output if the market suffers from a surplus according to what has been agreed upon by OPEC members to stabilize the market,” Olaim said, referring to the meeting in Algiers next month.
In the KUNA report, Olaim made no reference to the possibility of a decision to cut output to be made at an OPEC meeting at the end of this month in Cairo.
In Algiers, OPEC’s president said the group may have to wait until December to take action to reach a preferred oil price range of $70-$90 a barrel because the effect of its latest cuts is not yet clear.
Chakib Khelil said he saw the meeting of OPEC ministers in Cairo later in November as more of a brainstorming session that might formulate recommendations for action at OPEC’s gathering at Oran, Algeria on December 17.
Iran’s OPEC governor Mohammad Ali Khatibi was quoted on Saturday as saying Tehran wanted OPEC to cut oil output by a further 1 to 1.5 million barrels per day at the Cairo meeting.
Yemeni Oil Minister Amir al-Aidarous called on OPEC oil producers on Sunday to cut output to stop a fall in crude prices, which he said was also hurting small exporters such as Yemen, a state-run website reported. He urged the group to make the decision to reduce production at the Cairo meeting.
The price of oil has tumbled in recent months as the global economic crisis hits demand in big consumer nations, with U.S. crude falling $1.20 to $57.04 on Friday.
OPEC countries, expected to meet in the Egyptian capital Cairo on November 29, are considering action to halt oil’s slide as they face reduced revenues and a struggle to finance domestic projects.