Kuwait oil min says $100-$110 is a fair price

Mustapha al-Shamali says price range suits both producers and consumers
Kuwait oil min says $100-$110 is a fair price
By Reuters
Sun 06 Oct 2013 04:39 PM

Kuwait believes an oil price of $100-$110 a barrel is fair for producers and consumers, the Gulf OPEC state's oil minister was quoted as saying on Sunday.

"The fair price for a barrel of oil - that suits all parties whether producers or consumers - is between $100 and $110," Mustapha al-Shamali was quoted as saying by Kuwaiti daily al-Seyassah.

Kuwait is currently producing around 3.2 million barrels a day of oil, he said.

Shamali, a finance ministry veteran who was named oil minister in August, admitted that Kuwaiti politics had hindered the development of the country's vital energy industry.

The sector has "suffered greatly from policy interventions in its projects," the paper quoted him as saying in unusually blunt remarks for a Gulf minister.

Several large development projects have been cancelled in Kuwait in recent years, due to political infighting.

The biggest failure, a joint chemical venture with Dow Chemical Co, forced Kuwait into a $2.2 billion compensation payment earlier this year. This led to mass resignations of senior positions in the energy sector, including Shamali's predecessor.

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