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Oil Summit to address international concerns.



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Minister for Resources and Energy, Minister for Tourism

OIL SUMMIT TO ADDRESS INTERNATIONAL CONCERNS

The Hon Martin Ferguson AM MP, Minister for Resources and Energy says this Sunday's Energy Meeting in Jeddah, Saudi Arabia, is an opportunity for oil producing and consuming nations to address growing concern about the uncertainty and volatility of the global petroleum market.

The Minister today told the House of Representatives: "There is no simple solution to the problem of record oil prices and no one nation can shoulder the burden on its own.

"The oil burden as a share of global GDP is approaching the level of the 1970s oil crisis as are real oil prices.

"The important role for national governments is to allow the market to work properly and remove regulatory impediments to investment and trade."

There are five areas where the Australian Government will seek cooperation at the Jeddah Energy Meeting:

• To address foreign investment restrictions

• To work with OPEC countries and encourage investment in additional spare production

capacity

• To improve oil market data transparency

• To consider refining and other options for increasing middle distillate output - diesel, jet

fuel, and kerosene

• To work with developing countries and the International Energy Agency to address the

difficult issue of fuel subsidies and associated budget, balance of trade and inflation pressures

"It is important we recognise this meeting is not a one-off event. Rather it represents only one step in an on-going and complex process to address the factors which distort both the supply and demand for oil.

"This is the start of a long-term dialogue and an international effort is going to be required to address these important issues and I hope the Jeddah Energy Meeting will be a step in the right direction."

Media contact: Michael Bradley - 0420 371 744

RET Minister > The Hon Martin Ferguson AM MP

The Hon Martin Ferguson AM MP

20 Jun 2008