By TERENCE HUNT, AP
May 17, 2008
RIYADH, Saudi Arabia - Presi dent Bush failed to win the help he sought from Saudi Arabia to re lieve skyrocketing gas prices yes terday, a setback for the former oil man who took office predicting he would jawbone oil-producing na tions to help the United States.
Bush got a red-carpet welcome to this desert kingdom, home to the world's largest oil reserves, and prom ised to ask King Abdullah to increase production to reduce pressure on prices, which soared past $127 for the first time yesterday.
But Saudi officials said they already were meeting the needs of their cus tomers worldwide and there was no need to pump more.
Their answer recalled Bush's trip to Saudi Arabia in January, when he urged a production increase but was rebuffed. Saudi oil minister Ali al-Naimi said the kingdom decided on May 10 to increase production by 300,000 barrels a day. "Supply and demand are in balance today," Naimi told a news conference. "How much does Saudi Arabia need to do to satisfy people who are questioning our oil practices and policies?"
Early this week, Senate Democrats introduced a resolution to block $1.4 billion in arms sales to Saudi Arabia unless Riyadh agreed to increase its oil production by 1 million barrels per day.
Saudi Foreign Minister Saud al-Faisal said the discussion with Bush about oil was friendly. "He didn't punch any tables or shout at anybody," the minister said.
But Hillary Rodham Clinton said: "I think it's very important that we do something more dramatic than going to have tea with the Saudis."
Bernard Picchi, an energy analyst at Wall Street Access, an independent research firm, called the 300,000-barrel Saudi production boost "a token amount."
