OBMSGATEWAY

OBMSGATEWAY
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Tuesday, December 23, 2014

ALI al-NAIMI: PRICE OF OIL IS IRRELEVANT, OPEC WILL NOT CUT PRODUCTION

Whether oil goes down to $20 a barrel, $40, $50, $60, it is irrelevant.

It is crooked logic to expect Saudi Arabia to cut and then lose business to other major producers outside OPEC.

Is it reasonable for a highly efficient producer to reduce output, while the producer of poor efficiency continues to produce?

If I reduce, what happens to my market share? The price will go up and the Russians, the Brazilians, US shale oil producers will take my share.

It is unfair unfair for OPEC to reduce output because it is not pumping most of the world’s oil.

We produce less than 40 percent of global output. We are the most efficient producer. It is unbelievable after the analysis we carried out for us to cut.

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