Kuwait says 'satisfied' with $100 oil price

Head of Kuwait Petroleum Corp says price is comfortable for producers, consumers
Kuwait says 'satisfied' with $100 oil price
By Reuters
Fri 01 Jun 2012 10:58 AM

Oil at $100 a barrel is a comfortable price for producers and consumers, the head of state-run Kuwait Petroleum Corp (KPC) told state news agency KUNA.

"Kuwait is satisfied with oil prices in the region of $100 ... as this is acceptable to both producing and consuming countries," KUNA said, citing KPC chief Farouk al-Zanki.

He said Kuwait's output was steady at about 3 million barrels a day out of a total production capacity of some 3.2 million barrels.

Benchmark Brent crude oil was trading at around $103 a barrel on Thursday as disappointing data from the United States and India fuelled nervousness around the global demand outlook.

Zanki said tensions surrounding Iran's nuclear programme and economic uncertainty in Europe were two of the factors driving oil price fluctuations, KUNA reported.

Traditional factors such as demand and foreign exchange levels no longer play an influential role, Zanki said.

In a separate KUNA story, KPC unit Kuwait Oil Company (KOC) said it was planning to build three oil collection centres in the Gulf state that will increase crude production capacity by around 300,000 barrels of oil a day.

Designs are being drawn up for the project which will be built in the north of the major oil exporter, KOC's chairman Sami Al-Rushaid said, according to KUNA. He did not give dates.

Overall Kuwait says it wants to produce 4 million barrels of oil a day by 2020.

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