RIYADH, July 31: Saudi Arabia, the leading force in the Organization of Petroleum Exporting Countries (Opec), has vowed once again to continue striving to maintain stability in the international oil markets, balancing the interests of both, the oil producers and the consumers.

The announcement came at the end of a meeting of the Supreme Petroleum Council (SPC) here on Tuesday. Crown Prince Abdullah chaired the meeting of the policy making body responsible for petroleum and energy affairs in the Kingdom. “The Council affirms the continuity of Kingdom’s oil policy aimed at achieving stability in the oil market in order to guarantee the interests of producers and consumers, continuity of world economic growth and stability of oil supplies and prices at reasonable levels,” a statement issued after the meeting said.

This statement is being regarded as significant in the wake of the Russian decision to abandon the production cut agreement with the Opec.

Saudi Arabia has been instrumental in maintaining a delicate balance between oil prices and supplies, as arranged under the production ceiling programme of the Opec. In a year, where the global economies have been constantly experiencing one crisis after the other, Opec’s success in maintaining oil prices within its officially announced band of $22 to $28, is being acclaimed by most of the analysts, here in Dhahran, the virtual global economic capital.

Analysts here feel despite calls in the West to undo with the Opec production curbs, Saudi Arabia appears still to be favouring a control on supplies, in accordance with actual market demand, so as to ensure a reasonable return for the scarce energy resource.

The oil markets were reported to have responded positively to the decision of the Saudi Supreme Petroleum Council to maintain stability in the global oil markets. The benchmark Brent crude price for September delivery stood at $25.42 a barrel, just above the price level of $25 that the Opec has been seeking within its policy framework.

However, the SPC did not comment on the ongoing discussions between the Kingdom and the oil majors about the $25 billion gas initiative. Some reports are thus speculating that apparently the positions of the two sides are still to be reconciled and both the sides were still striving to close the gaps in their positions. In case no significant forward movement is seen in this direction, there is likelihood that the entire gas acreage could be floated once again for rebidding, reopening thus the entire initiative once again. Some of the oil companies, which were not selected in the first selection, were reported here to be still eager to get back into the arena, so as to get a slice of the acreage under offer.

Recent reports also indicate that some new energy companies including a Taiwanese group have also expressed their desire to participate in the gas offering, if the current round of negotiations between the already selected oil majors and the Kingdom’s negotiating team fails to reach any conclusion soon.