Saudi oil minister al-Naimi sacked: State media

Saudi King Salman replaced his long-serving oil minister on Saturday as part of a major government overhaul which comes as the kingdom grapples with a slump in energy revenues.

Ali al-Naimi, who held the post of oil minister for more than two decades, was one of the most powerful figures within the Organisation of the Petroleum Exporting Countries (OPEC) oil cartel.

Recently his influence appeared to have been curbed by the growing power of Salman's son Prince Mohammed, who has taken charge of economic policy.

The oil ministry - hitherto the Ministry of Petroleum and Mineral Resources - is set to be dissolved and replaced with the "Ministry of Energy, Industry and Mineral Resources".

Khaled al-Falih, the chairman of the Saudi Arabian Oil Company, better known as Aramco, will take the enlarged portfolio, according to a royal decree announced on Saturday by state media. Falih was also previously the health minister.

Saudi officials have long spoken of the need to diversify the kingdom's economy, which is heavily reliant on oil income.