Oct. 24 (Bloomberg) -- OPEC's move to cut 1.5 million barrels a day of oil production from next month was described as ``one quick decision'' by Saudi Arabia's oil minister.

``Demand is significantly less than what is being supplied, that is the reason the cut was taken,'' Ali al-Naimi told reporters after today's meeting of the Organization of Petroleum Exporting Countries in Vienna. ``There is a mismatch between supply and demand and inventories are rising.''

The 13 OPEC nations decided to lower supply to 27.3 million barrels a day after crude oil tumbled more than 50 percent since July. The supply reduction didn't halt the slide in oil prices in New York, which slid 6 percent to $63.77 as of 12:30 p.m. London time.

``We are satisfying our customers' demand,'' said the minister, who is also the de facto head of OPEC as Saudi Arabia is the world's largest oil exporter. ``But it will be natural for our customers, if demand is not there, to reduce their call on crude and naturally that will decrease their demands on us.''

OPEC will continue to watch prices and will meet as often as needed to ensure stability, al-Naimi said after the short meeting of less than two hours. ``We don't know what's going to happen in December,'' he said, referring to OPEC's next scheduled meeting in Oran, Algeria, on Dec. 17.

`Moving Target'

``This is a moving target and as it stands now we see no reason to take another cut,'' al-Naimi said.

Asked if the group would be ready to increase output if prices surged again in the future, al Naimi said, ``The answer is yes.''

``Our interest is not where the price is, as much as a stable price, a stable inventory and stable supply and demand,'' he told reporters.

Al-Naimi said that OPEC was not to blame for the financial crisis.

``We are not responsible for high prices, they were driven by people who were buying long futures and speculating on the market,'' he said. ``Now that they are out of the market prices have come down to the levels they are today.''

To contact the reporter on this story: Ayesha Daya in Vienna on adaya1@bloomberg.net

Last Updated: October 24, 2008 07:58 EDT