OPEC head says USD 75 to 80 a barrel a `good price`
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OPEC head says USD 75 to 80 a barrel a 'good price'

Last Updated: Tuesday, November 17, 2009, 00:20
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Tags: OPECOil
OPEC head says USD 75 to 80 a barrel a `good price` Abu Dhabi: USD seventy-five to 80 a barrel is a satisfactory price for oil, the president of OPEC said on Monday, adding that the cartel may leave production unchanged at its meeting next month.

"Seventy-five to 80 dollars a barrel is a good price... for the recovery of the world economy," Jose Maria Botelho de Vasconcelos, who is also Angola's oil minister, told reporters on the sidelines of a conference on Gulf energy security in Abu Dhabi.

Oil prices were trading within that range on international markets today.

De Vasconcelos said the cartel may leave production unchanged at its next scheduled discussion in Luanda on December 22, though "there is a provision for an increase" in production.

"This situation will be discussed" at the December meeting, he added.

However, he also told reporters on the sidelines of the conference that "the market is oversupplied."

De Vasconcelos said the rate of compliance by OPEC members with their production quotas "is around 65 per cent." This rate is satisfactory, he added.

OPEC expects oil demand to rise by 20 million barrels a day (bpd) to 106 million by 2030, he said, but warned of uncertainty in the market.

Bureau Report

First Published: Tuesday, November 17, 2009, 00:20

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