The current drop in crude prices is unjustified and will have an
impact on investments in medium-term production, United Arab
Emirates energy minister Suhail Mohamed Al Mazrouei told Sky News
in an interview.
"What happened in the world for prices to fall this way? We find
that there is nothing that happened to justify or explain this big
drop in prices," Mr. Mazrouei said.
"We are worried because future investments in oil have to
continue...unjustified drops in prices don't encourage small
investors to invest in what will be produced in four or five
years," he said.
An oil price of around $100 a barrel has encouraged investment
in new oil and gas projects, such as shale, and the current price
drop will have an impact on those investments, he said.
Earlier Tuesday, Mr. Mazrouei told reporters that oil market
fundamentals have not changed and that the Organization of the
Petroleum Exporting Countries has not contributed to the current
over-supply in the oil market.
Write to Summer Said at Summer.Said@wsj.com
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