(Repeats SEPT 12 story, no change to text)
By Rania El Gamal and Dmitry Zhdannikov
ABU DHABI, Sept 12 (Reuters) - OPEC is notorious for arguing
over production policies - but Prince Abdulaziz bin Salman has
effectively managed to deliver his first output cut just four
days after becoming the new Saudi energy minister.
With an impending listing of state oil giant Saudi Aramco
and rising Saudi budget needs, the issue of higher oil prices is
looming large for Prince Abdulaziz.
But when he first met fellow Gulf oil ministers and OPEC
officials this week, his first message wasn't about oil prices.
Prince Abdulaziz said first and foremost he was keen to
rebuild trust with oil neighbours Kuwait, the United Arab
Emirates, Oman and other OPEC members, sources familiar with the
meetings in Abu Dhabi said.
The prince, a veteran oil official and senior member of the
Al Saud ruling family, is expected to deal with OPEC matters
differently from his predecessor Khalid al-Falih, according to
three sources, who were briefed on the discussions.
Falih has repeatedly upset other OPEC producers by forging
deals with non-OPEC Russia first without discussing them with
the kingdom's Gulf OPEC allies, who traditionally cut or raised
output together with Riyadh.
"The new minister likes decisions to be unanimous instead of
being presented as just Saudi-Russian agreements," one source
told Reuters. "He wants us to be a united front."
Within hours the strategy had paid out.
Iraq and Nigeria, two of OPEC's members which were
over-producing well above their OPEC targets, joined Prince
Abdulaziz at the same news conference table after a joint
committee meeting, known as the JMMC, to pledge swift production
cuts. As a result of their actions, OPEC's output may drop further
by around 400,000 bpd, or 0.4 percent of global supply, to help
support oil prices at a time of rising fears of global economic
recession and soaring U.S. production, two sources said.
"Acting in unity sends strong messages to the market and
gives it greater confidence," the prince said as he invited the
Iraqi and Nigerian ministers to explain their next moves.
"My honourable colleague Minister Novak has wakened up to a
new reality which is that we are not being too inclusive and we
should have been," said the Saudi minister, who was seated next
to his Russian counterpart Alexander Novak.
CARDS CLOSE TO HIS CHEST
OPEC and its allies led by Russia, a group known as OPEC+,
met on Thursday in Abu Dhabi to discuss the market outlook ahead
of a full OPEC+ ministerial meeting in Vienna in December.
On Wednesday, Prince Abdulaziz met with Gulf oil ministers
and senior OPEC officials where he delivered his message.
"He also stressed the importance of compliance by all
countries - whether big or small," the first source said.
Prince Abdulaziz, a son of the king and half-brother of
Crown Prince Mohammed bin Salman, was named energy minister on
Sunday. Known in the industry as a diplomatic negotiator, he has
long experience of cutting OPEC deals. But he also keeps his cards close to his chest.
In his first interactions with the media this week, he joked
about being too direct, with an "excessively spontaneous" sense
of humour and as a "kitchen and basement" man.
But he avoided predicting future OPEC policy and U.S.
President Donald Trump moves against Iran, Riyadh's arch rival.
"What we hear now is something, and what can happen is
something else," the prince said.
"I don't want to go into details from the political aspect,
I am as chair of the JMMC should take a neutral position that
represents everyone."
(Editing by David Evans)