'King Salman affirmed that the Kingdom maintains a two million barrel per day spare capacity, which it will prudently use if and when necessary to ensure market balance, ' read the statement.
Iran is looking at ways to keep exporting oil after US President Donald Trump's administration threatened to impose sanctions on Iran's business partners if they don't cut Iranian oil imports to "zero" by November 4, in an attempt to further isolate Tehran politically and economically.
The fall came as the Russian Energy Ministry said on Monday that the country's oil output increased to 11.06 million barrels per day in June from 10.97 million barrels per day in May. He has tweeted about the Organization of Petroleum Exporting Countries at least 63 times since 2011, repeatedly saying the group is "ripping us off" and that crude should cost no more than $25 a barrel.
Hook declined to say if the kingdom can offer that additional supply, but the United States is "working to minimize disruptions to the global market", Hook said. While June saw Iran export over two million BPD, we could see a massive shock to the crude market if the USA manages to reduce exports to zero by 4 November.
"We will not hesitate to take action when we see sanctionable activity and that is consistent with our policy of economic and diplomatic isolation against Iran".
The recent strength in oil prices has in part been spurred by a US announcement that it plans to reintroduce sanctions against Iran, OPEC's third-largest producer, from November, targeting oil exports. Trump's tweet offered no timeframe for the additional 2 million barrels - whether that meant per day or per month.
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His comments come just one day after Trump himself told reporters aboard Air Force One that "we'll be talking about elections". Trump has been critical of the probe, denying any collusion and arguing that the Democrats should be investigated instead.
Saudi Arabia now produces some 10 million barrels of crude oil each day.
OPEC's oil production in June increased by 320,000 bpd from May to stand at 32.32 million bpd, as the cartel's biggest producer Saudi Arabia produced close-to-record volumes, according to a monthly Reuters survey tracking oil supply to the market.
Trump tweeted Wednesday that the Organization of Petroleum Exporting Countries is "doing little to help" reduce USA gasoline costs and "if anything, they are driving prices higher".
An agency report on Tuesday indicated, however, that despite the United States push on Saudi Arabia, futures in NY jumped as much as 1.7 per cent.
Iranian oil exports - the world's sixth largest - have been of particular concern to global market stability.
While the Saudis are likely to increase production of lighter, sweeter export grades, the country also has to consider the impact of bringing too much oil too soon, which could put a strain on its own output.