UAE oil minister says output freeze already in place

The United Arab Emirates says it has already put in gear a plan agreed to by a number of major oil producing countries to freeze their output level in order to reduce global market glut.

Speaking to reporters in Abu Dhabi on Monday, Emirati Oil Minister Suhail Mazrouei said that current market prices gave forced most producers to freeze their oil production levels, insisting that it made "no sense" to pump more crude, AFP reported.

"Current prices are forcing everyone to freeze. So I think it is happening as we speak," Mazrouei said, adding, "It does not make any sense for anyone to increase production at current prices."

Mazrouei further noted that he was aware of talks to hold a meeting between oil producers from the Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC producers, adding that he has not received an invitation yet.

"We hear about a meeting. I have not received an official invitation for an OPEC and non-OPEC meeting," he added.

"If there is an invitation, the UAE is always cooperating within OPEC," he said, adding that the organization should first hold talks to decide on whether to take part in such a meeting.

Back in February, oil ministers from Venezuela, Qatar, Saudi Arabia and Russia met in Doha to discuss ways to stabilize the tumultuous oil market. They announced at the end of the meeting that they had agreed to freeze output in a bid to shore up prices after a 70 percent drop due to chronic oversupply.

A day later, oil ministers from Venezuela, Iraq and Qatar met with their Iranian counterpart, Bijan Zangeneh, in Tehran, to discuss oil market conditions.

SS