OPEC, allies rule out further increase in oil output

OPEC and its non-member allies on Sunday ruled out the possibility of any immediate, additional increase in crude production, rebuffing US President Donald Trump’s calls for action to control rising oil prices.

“I do not influence prices,” Saudi Energy Minister Khalid al-Falih said in Algiers, ahead of a meeting today between OPEC and non-OPEC energy ministers.

The Saudi minister said the Kingdom had enough spare capacity – about 1.5 million barrels per day – to increase output, but such a move was not required at the moment.

“My information is that the markets are adequately supplied. I don’t know of any refiner in the world who is looking for oil and is not able to get it,” Falih said.

Meanwhile, Russian Energy Minister Alexander Novak said there was no need for an immediate output increase, although he believed a trade war between the US and China as well as U.S. sanctions on Iran were creating new challenges for oil markets.

Benchmark Brent crude has soared 40 percent so far this year, and reached $80 a barrel this month, prompting Trump to reiterate his demand on Thursday that OPEC and its allies act to reduce prices.

“The OPEC monopoly must get prices down now,” the US President tweeted.

According to a report by The Wall Street Journal on Saturday, OPEC members largely agree that oil prices above $80 a barrel would be too high.

OPEC and non-OPEC members led by Russia meet today in the Algerian capital to discuss options to stabilize rising oil prices.