Saudi, UAE oil ministers voice ‘concerns’ over price swings

The Saudi and Emirati energy ministers voiced concerns on Thursday over oil price fluctuations, saying they were determined to maintain output, the Saudi oil ministry said.

In a phone call, Saudi Arabia’s Khaled al-Faleh and the United Arab Emirates’ Suheil al-Mazrouei “voiced their concerns about recent market volatility, fuelled by anxiety over geopolitical events despite the availability of ample supply,” the ministry said.

Benchmark oil contract Brent North Sea hit its highest level since late 2014 on Thursday, breaching $80 per barrel amid uncertainties over supply.

Global crude output could be hit by President Donald Trump’s decision to pull the United States out of the Iran nuclear deal, and also by falling production in crisis-hit Venezuela, the International Energy Agency said Wednesday.

Patrick Pouyanne, the chief executive of French oil behemoth Total, said Thursday he “wouldn’t be surprised to see $100 per barrel” in the coming months.

Prior to Thursday’s oil-price rally, crude futures had already risen thanks to steady demand growth and a landmark production cut deal between members of the OPEC cartel and other major producers.

The Saudi and UAE energy ministers agreed to meet their Russian counterpart Alexander Novak at an international economic forum in Saint Petersburg next week to “continue the discussions”.