Privately, Saudis say get used to lower prices

Opec's top oil producer Saudi Arabia is reportedly happy to see crude prices fall to US$80 and below as it looks at slowing the expansion of rival producers including those in the US shale patch - AFP Photo.

LONDON/NEW YORK: Saudi Arabia is quietly telling oil market participants that Riyadh is comfortable with markedly lower oil prices for an extended period, a sharp shift in policy that may be aimed at slowing the expansion of rival producers including those in the US shale patch.

Some Opec members, including Venezuela, are clamouring for urgent production cuts to push global oil prices back up above $100 a barrel. But Saudi officials have telegraphed a different message in private meetings with oil market investors and analysts recently.