In East Africa, a further increase in crude prices would worsen consumers' plight as they pay more at the pump.
The Saudi prince contended in the Bloomberg interview that the most recent sharp rise in prices to over $80 a barrel is actually being driven by output losses in other countries, not Iran.
West Texas Intermediate for November delivery advanced as much as 61 cents to $74.94 a barrel on the New York Mercantile Exchange and traded at $74.54 at 8:37 a.m. local time. Worldwide benchmark Brent crude oil futures were at $83.25 per barrel at 0115 GMT, down 91 cents, or 1.1 percent, from their last close.
The move could also be part of an effort by Moscow to make global oil policy bilaterally with the Saudis, which began a few years ago and has largely decreased the effectiveness of OPEC, of which Iran is a member.
Oil prices are up on the week overall despite a large build in crude oil prices. However, Russia, which rivals the Saudis as a top global producer, does not support the US sanctions against Iran and has vowed to help Iran get around them and keep exporting oil.
That is the longest streak of weekly cuts since October past year.
The investment bank said there was enough oil to meet demand, but "global spare capacity is dwindling to the lowest level that we can document". "It now appears that only China and Turkey may be willing to risk US retaliation by transacting with Iran".
Last week, India reduced gasoline and diesel prices to give relief to consumers against rising global crude prices caused by uncertainty over U.S. sanctions on Iran and OPEC's decision to raise output. On Wednesday, Brent hit its highest price since late 2014, at $86.74. "So, if prices become too high then both Saudi Arabia and us have the capability and capacity to increase production", Dmitriev said. "I anticipate that November will be slightly higher", he said, potentially breaking the production record set in November 2016.
"This has translated just between Russian Federation and Saudi Arabia, as of today, to about 1m barrels" of additional supply since the group made a decision to start rolling back its cuts in June, Al-Falih said.
"Cooperation with OPEC is not only an agreement to increase prices, it is an agreement to stabilize prices".