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Source: Petro Global News
Saudi Arabia’s Energy Minister Khalid Al-Falih said this week that his country won’t boost production ahead of an informal OPEC meeting.
Al-Falih said in an Al-Arabiya television interview seen by Bloomberg that, although Saudi Arabia could produce up to 12.5 million barrels per day, the kingdom is not currently seeking to max out its production.
“The market is now saturated with stored crude at beyond usual levels and we don’t see in the near future a need for the kingdom to reach its maximum capacity,” Al-Falih said during the interview.
According to Reuters, Al-Falih said during the same interview that Saudi Arabia is not targeting a specific output or production level.
“The kingdom’s production meets the requirements of the customers, whether they are outside internationally or inside the kingdom,” Al-Falih said.
According to data compiled by Bloomberg, Saudi Arabia produced about 10.43 million barrels of oil per day in July
That figure was up from the 10.33 million barrels per day the OPEC powerhouse produced in June, according to S&P Global Platts.
Saudi Arabia has consistently been pumping over 10 million barrels a day since oil prices began falling in late 2014.
Total OPEC crude oil output climbed 300,000 barrels per day in June to a near eight-year high of 32.73 million barrels per day, according to S&P Global Platts.
OPEC members are set to meet on the sidelines of the upcoming International Energy Forum to discuss a potential production deal.
The forum will take place in Algeria from September 26 to September 28.
Two previous attempts to reach a production freeze agreement failed earlier this year when Saudi Arabia refused to sign on after Iran declined to participate.
Current OPEC president and Qatar Energy Minister Mohammed bin Saleh al-Sada toldthe Wall Street Journal in August that he expects demand to strengthen and crude supplies to shrink in the second half of this year.
OPEC’s next official meeting is scheduled for November 30 in Vienna.
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