Saudis ponder oil-price rise

Press, 9 August 1980, Page 9

Saudis ponder oil-price rise

NZPA New York Saudi Arabia is reported to be considering raising its SUS2B-a-barrel crude oil price to at least SUS3O as early as mid-August despite the present world oversupply of petroleum. New Zealand buys more than 60 per cent of its oil from Saudi Arabia. i The trade newspaper, (“Platt’s Oilgram New c .” quoting an unidentified “reliable industry source” said four members of the country’s Supreme Petroleum Council had been pressing for a SUS2 increase this month and another SUS2 rise in November. Three other members of the advisory body — including the influential Oil Minister (Sheik Ahmed Zaki Yamani) — are backing a single SUS 4 increase to

t SUS 32 in the fourth quarter, > the newspaper said. ; A final decision on any I price increase would be ; made by the country’s : Crown Prince Fahd, rather 1 than by the Petroleum Coun- , cil, the paper said. Saudi : Arabia is the largest foreign 1 supplier of oil to the United i States and the largest /member of the Organisation ’of Petroleum Exporting - Countries. r Saudi Arabia, whose oil ( price traditionally has been •the benchmark on which i other OPEC prices are set, i has not raised its price from • the SUS2B level it announced on April 1. OPEC in June set SUS 32 ■as its recommended base price and SUS 37 as its ceili ing after an 18-month period in which the cartel’s prices . jumped 130 per cent.