Kuwait's Deputy Prime Minister and Acting Oil Minister Anas Al-Saleh expressed optimism Tuesday that OPEC member states would approve reduction of output to improve oil prices.
Al-Saleh, also Finance Minister, said he was optimistic OPEC oil ministers would approve an agreement reached in Algeria last September regarding reduction of the organization's oil output.
"Such an agreement will positively impact international oil markets and levels of prices," Al-Saleh said in a statement to KUNA following his arrival in Vienna to take part in OPEC's ministerial meeting, due tomorrow.
He underlined importance of the meeting and hoped the ministers would reach a unanimous agreement that would benefit oil producers and consumers.
Al-Saleh said OPEC's recent data and studies showed that the oil markets were ready to "correct their conditions normally to achieve the required balance in terms of supply and demand and thus support prices next year."
The Algeria agreement called for reducing production of the Organization of Petroleum Exporting Countries to 32.5-33 million barrels per day (bpd), the first since 2008. If the ministers approved the agreement, he said, this would mean a quick withdrawal of oil surplus in the markets.
Al-Saleh stated that exemptions from production cut commitments could be made for some countries, which undergo political and security unrest.
These special exemptions are possible, but they should be made through transparent and frank discussions among member states, he told KUNA.
He underlined Kuwait's eagerness to help reach a fair price level that protects the interests of both oil producers and consumers.
Al-Saleh concluded that oil-rich Gulf states are hoping that all OPEC member states would adhere to Algeria agreement to help withdraw the extra crude supply on the market. Speaking to KUNA, Saudi Oil Minister Khaled Al-Faleh also expressed optimism about the possibility of OPEC ministers reaching an agreement on production cut in their meeting.
Al-Faleh expected that the oil market would reach a balance point in 2017.