Saudi officials tell FT Kingdom will not lower output

Saudi Arabia would continue pumping oil at its current to defend its market share, despite the pain to the country's finances, senior officials told the Financial Times.

Senior officials from the Kingdom said it would continue to meet customer demand, adding that they did not want to change tack ahead of the 4 December meeting of the Organisation of the Petroleum Exporting Countries in Vienna.

"There have been no conversations here that say we should cut production now that we've seen the pain."

"The only thing to do now is to let the market do its job," said Khalid al-Falih, chairman of the country's state-owned oil company.

It has been almost a year since OPEC's 'shock' decision to maintain its output levels, sending crude futures spiralling lower to approximately $50 per barrel from about $115 then.

The Middle-Eastern nation has been left facing a budget deficit worth 20% of gross domestic product as the high oil prices receded.

Fatih said "the extent of the pain went beyond our expectations," going to argue that markets had overreacted to the downside as they often do.

He forecast the market would come into balance in the new year and then demand would start to suck up inventories and the oil stored on tankers.

As of 11:37 front month Brent crude futures were moving up by 0.73% to reach $47.77 per barrel on the ICE.