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President George W. Bush said on Monday he was concerned about near-record oil and gasoline prices and pressed Crown Prince Abdullah on how much Saudi Arabia could increase production. "The crown prince understands that it is very important ... (to) make sure that the price is reasonable. A high oil price will damage markets, and he knows that," Bush told reporters before welcoming Abdullah at his Texas ranch. "I look forward to talking to him about that," Bush said. "We'll talk about his country's capacity. It's an important subject."
Saudi Arabia is the biggest producer within the Organisation of Petroleum Exporting Countries.
"This is an important relationship," Bush said. He greeted the prince with a kiss on both cheeks and then held his hand to help him up the stone steps leading to the office on the president's ranch.
The White House is facing growing consumer unease over oil prices that have marched steadily higher during the past year, reflecting the growing demand for energy in China and India and little new global production.
"The price of crude is up because not only is our economy growing, but economies such as India and China's economies are growing," Bush said.
Record-high prices were logged in April for US crude oil, which briefly topped $58 a barrel, and for nation-wide retail gasoline prices, which hit $2.28 a gallon.
Democrats criticised the Bush administration's energy policy. "It is wrong that the president has let our national energy policy go so awry that he is asking a foreign prince for favours," said Rep. Edward Markey, a Massachusetts Democrat.

Copyright Reuters, 2005

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