Post by dracon on May 24, 2009 8:26:54 GMT 4
OPEC to keep output level, stress compliance
May 23, 2009 at 02:36
OPEC is likely to maintain current production level targets at its meeting next week, while stressing full compliance with quotas, the Saudi-owned daily al-Hayat reported on Saturday, citing a senior Gulf source.
"A senior Gulf source said the organisation will keep at the current targeted levels, but it will reiterate the need for complete compliance with them," al-Hayat said.
U.S. Energy Secretary Steven Chu said on Friday he wanted the Organization of the Petroleum Exporting Countries to carry out an oil production policy that would help keep oil and gasoline prices stable "as much as possible".
A Reuters poll showed on Thursday that OPEC oil exporters would agree at the May 28 meeting to keep production levels unchanged as rising prices have eased pressure on budgets and there are hints of economic recovery over the next year.
OPEC ministers meeting on May 28 plan to start their closed session to set output policy at 10 a.m. Vienna time (0800 GMT), a source familiar with the group's plans told Reuters on Friday. A news conference will be held later in the day, the source said.
Eleven of 12 oil analysts and economists surveyed by Reuters predicted that OPEC would maintain output and stress again the need for adherence to existing quotas.
Oil prices have risen sharply over the past three months, with benchmark U.S. crude oil futures reaching a six-month high of more than $62 on Wednesday from around $34 in February and a low of $32.40 in December.
Economists calculate that, at $40 per barrel, 11 of OPEC's 12 members, as well as non-members Russia and Mexico, faced budget deficits.
But with the market around $60, most of the oil exporters are much more comfortable and can avoid the difficult question of how and where to cut output if it needs to be trimmed.
May 23, 2009 at 02:36
OPEC is likely to maintain current production level targets at its meeting next week, while stressing full compliance with quotas, the Saudi-owned daily al-Hayat reported on Saturday, citing a senior Gulf source.
"A senior Gulf source said the organisation will keep at the current targeted levels, but it will reiterate the need for complete compliance with them," al-Hayat said.
U.S. Energy Secretary Steven Chu said on Friday he wanted the Organization of the Petroleum Exporting Countries to carry out an oil production policy that would help keep oil and gasoline prices stable "as much as possible".
A Reuters poll showed on Thursday that OPEC oil exporters would agree at the May 28 meeting to keep production levels unchanged as rising prices have eased pressure on budgets and there are hints of economic recovery over the next year.
OPEC ministers meeting on May 28 plan to start their closed session to set output policy at 10 a.m. Vienna time (0800 GMT), a source familiar with the group's plans told Reuters on Friday. A news conference will be held later in the day, the source said.
Eleven of 12 oil analysts and economists surveyed by Reuters predicted that OPEC would maintain output and stress again the need for adherence to existing quotas.
Oil prices have risen sharply over the past three months, with benchmark U.S. crude oil futures reaching a six-month high of more than $62 on Wednesday from around $34 in February and a low of $32.40 in December.
Economists calculate that, at $40 per barrel, 11 of OPEC's 12 members, as well as non-members Russia and Mexico, faced budget deficits.
But with the market around $60, most of the oil exporters are much more comfortable and can avoid the difficult question of how and where to cut output if it needs to be trimmed.