Kuwait backs any output increase by Opec

13 May, 2004

Kuwait's oil minister said Wednesday his country would back any output hike by Opec members in order to cool soaring oil prices and stabilise the market.
"I think all Opec members are trying now to have full production capacity but if they have to increase output by any size, we are supporting it," Sheikh Ahmed Fahd al-Sabah told reporters.
"I am sure there is no shortage in supplies. We (Opec) want to reach an agreement to find the best way to set a stable price," he said.
"All (market) intelligence information indicates there is an over supply in the market of about three to 3.5 million barrels per day (bpd)," he added.
"We are currently producing almost to the maximum of our capacity," which is around 2.4 to 2.5 million barrels per day (bpd).
"Kuwait will increase its production to reach its maximum capacity," Sheikh Ahmed said.
Crude oil roared past 40 dollars a barrel in New York Tuesday to the highest finish since October 1990 as supply fears returned, stirred by hot demand and high Middle East tension.
The Kuwaiti minister reiterated that the steep prices are partly due to an unstable political situation in the Middle East.
He also said there are contacts between members of the Organisation of Petroleum Exporting Countries to review the market situation ahead of a June 3 Opec ministerial meeting in Lebanon.

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