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Opec ready to raise output if market needs: Kuwait

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Press Trust of India Jeddah
Last Updated : Jan 19 2013 | 10:33 PM IST

"Opec will not hesitate to make any increase in production if the market required that ... For Kuwait, we will not hesitate to increase production if the market required," Olaim told reporters ahead of the Jeddah oil meeting.     

Kuwait is Opec's fourth largest producer and is pumping around 2.58 million barrels per day.      The Kuwaiti minister however said that high oil prices were not driven by market fundamentals, blaming other factors like speculation.     

"We believe that market fundamentals are not causing high oil prices. There are other factors like speculation, lack of refining capacity, the decline in the dollar and geopolitical factors," Olaim said.     

The minister called for an objective debate between consumers and producers in a bid to find a solution for the high oil prices, which may not be instant.     

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"We are living in the same boat ... We can not live without a solution for the volatility of the prices.     

"We should not blame each other. We should communicate positively together to find a solution ... Which may not be a short-term (one) but we have to start rather than just waiting," he said.     

Olaim said Opec members are undertaking projects that will meet rising global demand.     

"We don't have to talk negatively regarding especially the (output) capacity of Opec that they can not have enough capacity for the future.     

"I think there are projects and good investment down the road. So we have to trust each other," Olaim said.

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First Published: Jun 22 2008 | 3:16 PM IST

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