| June 22, 2008 Saudi Arabia agrees to boost oil production
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(NECN/ABC) - The Bush administration is expected to welcome a move by Saudi Arabia to boost its oil exports starting next month. The Saudi Kingdom which is the world's biggest oil exporter has been under extreme pressure to help ease the hikes in Oil prices by increasing production.
The world's biggest players in oil and energy spent the day discussing record oil prices. but will it spell relief? for the short term, Saudi Arabia agreed to raise oil output by 200,000 barrels a day. But the consensus was that there's no quick fix.
The meeting was a response to what Saudi Arabia called "unjustifiable" prices. and the meeting did result in a global commitment to a more stable market.
Al Muanna: "We are telling our customers we are going to give them whatever they need this year and next year. Also we are planning to increase our production capacity and to coordinate with other countries in terms of other policies including as well refining capacity."
Saudi Arabia and other members of OPEC are making billions of dollars a day from today's high price but they know that as it rises, the world will turn to new energy sources - killing demand and revenues from oil.
Raad Kadiri high oil prices, while they benefit from it, if it hits the consumer too much means that they're risking their own futures. The Jeddah meeting was framed as part of a road map to stable oil markets. Along the way, the best hope for lower prices may be that it's in
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