Russia Says 1-1.5 Mbpd Oil Output Hike Needed

6 Jan 03(10:24 AM) |  E-mail Article to a Friend

KUWAIT (Reuters) - Russian Energy Minister Igor Yusufov said on Monday that OPEC and independent oil exporters needed to raise output by one to 1.5 million barrels per day (bpd) to cool soaring prices.

Yusufov, in Kuwait on a tour of Gulf oil states, said Saudi Arabian Oil Minister Ali al-Naimi expressed the same opinion when they met in Riyadh on Sunday.

"OPEC and non-OPEC must raise production by one to 1.5 million barrels per day (bpd) to deal with the situation," Yusufov told Reuters before meeting his Kuwaiti counterpart.

"Naimi is of the opinion that there needs to be an OPEC and non-OPEC output increase of one to 1.5 million barrels per day," Yusufov added.

OPEC President Abdullah al-Attiyah, of Qatar, said on Sunday that the cartel planned to raise its formal 23 million bpd target by between 500,000 and one million bpd, and consultations between ministers were ongoing.

Russia, Norway and Mexico are the largest oil exporters outside OPEC, which is dominated by Gulf states, but all three are pumping close to full capacity.

Oil prices have jumped by more than a quarter in the last two months as Venezuela's exports, normally the world's fifth largest, have slowed to a trickle.

Asked if Russia had any spare capacity and would be willing to raise output, Yusufov said: "We would prefer not to because we have certain programs scheduled, but we are ready to raise production if necessary."

Yusufov was due to meet Kuwaiti Oil Minister Sheikh Ahmad al-Fahd al-Sabah for talks on the oil market.