Saudi Arabia will not call for OPEC to reduce oil production

Almaty. November 27. Silkroadnews - Saudi Arabia, the largest oil producer in OPEC, made it clear that it would not call on the cartel to cut production, reports Reuters.
Representatives of Saudi Arabia, Russia, Venezuela and Mexico held talks amid falling prices for one-third from June and oversupply of oil on the world market, but were unable to agree on joint action to prevent a further fall in prices.
Oil minister of Saudi Arabia, Ali al-Naimi has not commented on the meeting and said that the market will "eventually stabilize itself". Previously, he avoided discussing oil prices and oversupply in the market, saying that he is "happy, everything is ok".
Russia, mining 10.5 million barrels per day, or 11% of the world, on the eve of the talks hinted at the possibility of reducing production, but at the end of the meeting the head of Rosneft, Igor Sechin unexpectedly announced that he will not decrease, even if oil prices fall in price to $60 per barrel.
According to him, the low prices will cause more damage for producing countries with higher production costs. OPEC was surprised for the readiness of Russia, whose budget is calculated on $100 a barrel.
"The Gulf countries are less worried about falling prices compared with other members of OPEC", - said a source in the organization, adding that if the countries outside OPEC want to support the price cartel, they will also cut production.
Russian Energy Minister Alexander Novak, also participated in the quadripartite talks on Tuesday. He announced that Russian companies will produce about the same amount of oil in 2015, as previous year. He expressed doubt that OPEC on Thursday will take a decision to reduce production quotas.
Saudi officials said privately that in recent months the kingdom is having long period of low oil prices up to $70 per barrel.
"I think that even Saudi Arabia does not know whether it is possible to agree on reducing the oil prices", - said an analyst at research firm Energy Aspects Virendra Chauhan.
Range forecasts, the decision on oil production is very wide - from its decline by 1 million barrels per day to maintain the current volume.