Saudis Say 'Optimistic' ahead of OPEC Talks

Saudi Arabia's energy minister said on Tuesday he was optimistic that energy ministers at an informal OPEC meeting in Algiers would reach a "common view" on the international oil market.

"I remain optimistic on the basis of market fundamentals that are moving in the right direction and also on the producers coming to a common view," Khaled al-Faleh said on the sidelines of the International Energy Forum in Algiers.

"We have had positive signs from the U.S. market over the past three weeks regarding a reduction in stocks," he said.

Asked about the position of Iran, whose oil minister said earlier Tehran was not ready to agree to an output freeze, the Saudi minister replied: "A single country cannot influence the market."

Oil prices have fallen by more than half since mid-2014 because of a market glut caused by a U.S. shale oil boom and the Organization of the Petroleum Exporting Countries opening the valves to maintain its own market share.

According to Bloomberg, OPEC heavyweight Saudi Arabia said before the Algiers meeting that it would only curb its production if Iran agreed to do the same.

Disagreements between the Gulf rivals had already scuppered an attempt in Qatar in April by OPEC and Russia to agree on a production cap.

But on Tuesday, Faleh said that "the opinions of OPEC and non-OPEC states are beginning to converge."

"We will line up with the general opinion of the producers," he said.

Oil prices retreated Tuesday on fading prospects of an agreement being reached in Algiers.

At around 1130 GMT, U.S. benchmark West Texas Intermediate for delivery in November was down 80 cents to $45.13 a barrel.

Brent North Sea crude for November shed 93 cents to $46.42 a barrel compared with Monday's close.