Oil market oversupplied: Saudis

[Newsjock]

Source: Reuters

Saudi Arabia’s Oil Minister Ali al-Naimi said Sunday the global oil market was oversupplied and that the world’s top oil exporter had already reduced production due to weak demand.

Consumers have urged OPEC to quickly add supply to quell the rally that has taken oil to its highest level in two and a half years amid unrest in North Africa and the Middle East.

“The market is overbalanced ... Our production in February was 9.125 million barrels per day, in March it was 8.292 million barrels per day. In April we don’t know yet, probably a little higher than March. The reason I gave you these numbers is to show you that the market is oversupplied,” he told reporters.

... OPEC officials have strongly rejected responsibility for high oil prices in recent weeks but Mr. Naimi’s words are the clearest indication yet that the group is unconvinced there is a need for more oil and that OPEC may well leave its policies unchanged at its June meeting.

Read more: http://www.theglobeandmail.com/report-on-business/industry-news/energy-and-resources/oil-market-oversupplied-saudis/article1988603/