Saudi Oil Minister Ali al-Naimi said the kingdom pumped 8.493 million barrels of oil a day in November, close to its OPEC production quota of 8.477 million barrels a day. The total is 287,000 barrels a day less than estimated by the Paris-based International Energy Agency.
Crude oil for January delivery rose as much as $2.41, or 5.5 percent, to $45.93 a barrel on the New York Mercantile Exchange. It traded at $45.87 a barrel at 12:40 p.m. in London.
Saudi Arabia’s oil output was absolutely” in line with its OPEC quota, al-Naimi said today in an interview in Poznan, Poland. He declined to comment further on OPEC policy.
Oil has tumbled 30 percent since the Organization of Petroleum Exporting Countries, which supplies about 40 percent of the world’s oil, announced a 1.5 million-barrel-a-day output cut on Oct. 24 in Vienna. Prices fell as fuel demand slumped and speculation grew that some members weren’t complying with their agreed-on quotas.
Brent crude oil for January settlement rose as much as $2.75, or 6.5 percent, to $45.15 a barrel on London’s ICE Futures Europe exchange. It traded at $45.06 a barrel at 12:41 p.m. local time.
The IEA, an adviser to 28 nations, said global oil demand will contract this year for the first time since 1983 and cut its outlook for 2009.
Consumption worldwide will shrink in 2008 by 200,000 barrels a day, or 0.2 percent, the IEA said in a monthly report today. The reduction in demand is led by developed economies in the Organization for Economic Cooperation and Development, where consumption will tumble 3.3 percent. Next year’s growth may be wiped out if the economic slump deepens, the agency said.