International fears of an oil supply crisis have prompted Saudi Arabia to hold “active talks” with European companies over how to meet the shortfall caused by the turmoil in Libya.
The clearest sign yet that Opec’s biggest producer is prepared to increase supplies emerged after panic buying sent Brent crude futures, the global benchmark, to a new 2½-year peak of almost $120 a barrel on Thursday, up $17 since violence broke out in Libya last week.
The kingdom has asked “what quantity and what quality of oil” European refiners want, a senior Saudi oil official said.
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