VIENNA: Kuwait’s Acting Oil Minister Dr Mohammad Al-Faris believes that the decision of the OPEC Plus oil ministers on Wednesday to reduce production by two million barrels per day will have positive repercussions on the oil markets which he hopes would serve the global interest. OPEC Plus ministers have accomplished “important and pivotal work” for the world, regarding the provision of energy and petroleum fuels, the minister told KUNA at the conclusion of OPEC Plus talks in Vienna.
“The decision today places a huge responsibility on us to follow market developments – in terms of reducing production in the event of an increase in supply or increasing production quantities when there is a need for more oil supplies,” he said. The 23 countries affiliated with OPEC Plus will “continue to consult among themselves and follow market developments,” he said, adding they would “take appropriate measures” based on the needs of global markets, and their balance, in a manner that serves global interests.
Asked about the reaction of major oil importing countries, mainly the West, to the decision, the minister said, “we understand consumer fears about the possibility of higher prices, but what moves us in OPEC Plus is basically the issue of achieving a balance between supply and demand and from there we work on maintaining this balance in a way that prevents fluctuations and market collapse.”
The OPEC Plus alliance “serves the global economy, and does not threaten it,” he went on to clarify, adding that what distinguishes the decisions of OPEC and OPEC Plus is the “purely technical character that continuously reflects the reality of the market and its balances.” “Over its long history, OPEC has not taken decisions for the purpose of imposing hegemony,” he went on to clarify. “It is keen to provide sufficient supplies to the market and at reasonable prices that do not harm the interests of the producers or consumers.” – KUNA