Saudi Arabia says there is no lack of oil in world markets despite fears of war in Iraq, signalling the world's top oil producer has no intention to raise production further for the moment.
"There is no shortage in the market and there should be no reason for prices where they are today," Saudi Oil minister Ali al-Naimi told a panel discussion at the World Economic Forum annual meeting in the Swiss ski resort of Davos yesterday.
"We checked. We called. I checked with individual customers, refineries and others. I ask them one question: Do you feel you need more oil? And the answer is no," he said.
Oil prices have surged - topping OPEC's $22-$28 a barrel target range - amid fears of a US-led war in Iraq and because of a seven-week-old general strike that has cut exports from OPEC member Venezuela.