Oil Price Jumps $2 as Saudi Arabian Energy Minister Fuels Inflation Fears
THE DAILY TELEGRAPH: The Saudi Arabian energy minister pushed up oil futures by $2 per barrel, after implying the powerful nation will not do anything to stop prices rising to $90.

Ali al-Naimi told a conference in Singapore that consumers are looking for prices in the $70-$90 range. Photo: The Daily Telegraph
The comments will drive further fears of inflation, as transportation costs of consumer goods tends to rise with the oil price.

Brent crude rose $2.06 to $85.21, as any signs about Saudi Arabia's plans for output can have a huge impact on the volatile oil market.

Ali al-Naimi, the oil minister, told a conference in Singapore: "Consumers are looking for oil prices around $70, but hopefully less than $90. There's almost an anchor now for the price."

Analysts quickly pointed out that this $70-$90 range is higher than the previous $70-$80 window cited by the Gulf nation as comfortable. Read on and comment >>> Rowena Mason | Monday, November 01, 2010

Saudi Oil Output to Rise in July
Photo of the Saudi Oil Minister, Ali al-Naimi, courtesy of the BBC
BBC: Saudi Arabia will increase its oil production by 200,000 barrels a day next month, its oil minister has told the United Nations.

The news was announced after UN Secretary General Ban Ki-Moon met Saudi Oil Minister Ali al-Naimi in Jeddah during a one-day visit on Sunday.

Last month, the Kingdom increased its production by 300,000 barrels a day in an attempt to bring down high prices.

It argues soaring prices are caused by speculators rather than oil shortages.

Oil prices fell by almost $2 on Friday after reports that Saudi Arabia might boost oil production. US light, sweet crude was trading at $134.86 in New York.

Speculative factors

After an earlier meeting with the Kingdom's King Abdullah, Mr Ban said Saudi Arabia, the world's biggest oil producer, viewed current prices as "abnormally high". Saudi Oil Output to Rise in July >>> | June 15, 2008

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