$100 per Barrel Great Price for Oil – Saudi Arabia
The world’s number 1 crude oil exporter Saudi Arabia wants the price of oil at around $100 a barrel. They also want global inventories to rise before demand rises (estimated to be in the second half of 2012), says Ali al-Naimi, Saudi Arabia’s Oil Minister.
Brent Crude closed at $112.26 on Friday, off the high of $128 set in March 2011. Brent has stayed constantly above $100 since early 2011, keeping energy costs high and hurting a sensitive global economy.
“We want a price around $100, that’s what we want. A $100 price is great” said Naimi to reporters.
Saudi Arabia is actively trying to bring Brent crude prices to that level. they pumped 10.1 million barrels per day in April, their highest rate in over 30 years, in an effort to meet growing demand and cut oil prices.
Prices have stayed high in 2012 over to concerns about disruption to global supply from U.S. and European sanctions targeting Iran’s crude oil revenues in an attempt to force Iran to stop its covert nuclear program. The international community believe Iran is developing nuclear weapons — something Tehran denies.
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