RIYADH (AFP) — OPEC kingpin Saudi Arabia, the world's largest oil producer, will increase crude output if such a rise is justified, Oil Minister Ali al-Nuaimi said on Tuesday.
"We will raise production when the market justifies it, this is our policy," he said shortly after visiting US President George W. Bush urged producers to take action over the "very high" oil prices.
"OPEC in its forthcoming meeting will of course look at all the available data such as the projected demand, the supply available and particularly the world inventory levels and decide accordingly," Nuaimi said.
OPEC is due to meet in February under pressure to calm prices after shrugging off calls to increase output at its last meeting in December.
"We as a producing country look for maintaining the fundamentals of the oil market as healthy as possible," the minister said.
Oil prices fell on Tuesday after Bush urged producers to take action over prices that hit 100 dollars a barrel at the start of the year, adding to US recession fears.
New York's main contract, light sweet crude for delivery in February, was down 10 cents at 94.10 dollars per barrel.
Brent North Sea crude for February shed 30 cents to 92.62 dollars.
At a roundtable meeting with Saudi entrepreneurs, Bush said he would speak to King Abdullah "about the fact that oil prices are very high, which is tough on our economy."
"And that I would hope, as OPEC considers different production levels, that they understand that if their -- one of their biggest consumers' economy suffers, it will mean less purchases, less oil and gas sold."
In a later interview with reporters travelling with him, Bush added: "There's not a lot of excess capacity in the market place. Demand has outstripped supply."
While saying Saudi Arabia does not wish to see any country go through stagnation or recession, Naimi said oil prices were not the only cause of such misfortune.
"Presidents and kings have every right, every privilege to comment or ask or say whatever they want. The concern for the US economy is valid, but what affects the economy is more than the impact of oil."
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