Saudi Leader Rejects Oil "Shortage" Theory
Saudi Arabia's foreign minister on Thursday rejected suggestions of an oil shortage and said prices should drop to $40 to $45 a barrel from well over $60.
"The oil industry does not suffer from a lack of oil," Prince Saud al-Faisal said in an interview with the Associated Press. He cited a lack of refineries in the United States.
"We are adding barrels of oil on the market," Saud said. "The price of oil will go down." Saud, in the interview, predicted prices would decline significantly by next summer.
Saud said he now believes $60-a-barrel oil cannot be supported by true oil market conditions. "From what I hear from oil experts, they say around $40 to $45 a barrel is the place where the oil price is going to go," he said.
Houston Chronicle
"The oil industry does not suffer from a lack of oil," Prince Saud al-Faisal said in an interview with the Associated Press. He cited a lack of refineries in the United States.
"We are adding barrels of oil on the market," Saud said. "The price of oil will go down." Saud, in the interview, predicted prices would decline significantly by next summer.
Saud said he now believes $60-a-barrel oil cannot be supported by true oil market conditions. "From what I hear from oil experts, they say around $40 to $45 a barrel is the place where the oil price is going to go," he said.
Houston Chronicle
Comments