Alexa

Saudi energy minister keeping close eye on US oil producers

Saudi energy minister keeping close eye on US oil producers

HOUSTON (AP) — Saudi Arabia's energy minister says OPEC production cuts are working to bolster crude prices and his country will look at whether other oil-producing nations are living up to their promises to curtail pumping before deciding whether to extend the cutbacks beyond this summer.

Khalid Al-Falih expressed no great alarm Tuesday about the recovery in American oil output since crude prices began rebounding in early 2016.

But, in a nod to America's ability to offset much of the OPEC cuts by pumping oil from shale formations, Al-Falih says he is watching the U.S. producers closely.

Al-Falih spoke at an energy industry conference. He said growth in developing nations means that demand for oil will remain strong despite efforts to curb carbon emissions, advances in energy efficiency, and competition from renewable energy.