Current crude prices are too high and should be around $100/B, a senior Gulf source tells MEES. “We are working to bring down the price,” he said on 20 September, adding: “the Saudis are consulting their clients and telling them they are ready to supply more.”

A major oil producer and a European refiner both say no discussions about taking extra Saudi crude have happened as yet. “We haven’t heard anything ourselves, which doesn’t necessarily mean others aren’t getting contacted,” said a trader from a major. “No we haven’t been in any special talks yet,” says the European refiner. “With the Saudis it is entirely normal for them to say ‘we have some extra barrels, if you want them.’ Maybe this is just spin on this usual situation,” he added, referring to recent press reports that the Saudis would increase supply. (CONTINUED - 592 WORDS)