OPEC Meeting
Posted: Wed Jun 01, 2016 3:48 pm
IMO what OPEC does or does not do will not change the fact that oil production is falling and demand is going up. That combination always results in higher oil prices. - Dan
A senior OPEC official told Reuters that the Gulf Cooperation Council is hoping for "coordinated action," between member states at the meeting in order to develop a plan aimed at stabilizing global oil prices. The council consists of Saudi Arabia, Qatar and two other Persian Gulf allies in Kuwait and the United Arab Emirates. In recent weeks the group has been met with resistance by Iran, which has been hesitant to cap output as it seeks to ramp up production to pre-sanction levels from 2007. Talks at a closely-watched summit in Doha in mid-April collapsed after Saudi Arabia insisted that Iran participate in any agreement involving a freeze of production.
"Iran supports OPEC’s efforts to bring stability to the market with fair and logical prices, but it will not commit to any output freeze," Mehdi Asalia, Iran's representative to OPEC, told state-run news agency Shana.
Elsewhere, energy traders await the release of the American Petroleum Institute's weekly crude inventory report after the bell on Wednesday for further indications on the supply-demand balance on U.S. domestic energy markets. The report is being released one day later than normal this week due to the Memorial Day holiday.
A senior OPEC official told Reuters that the Gulf Cooperation Council is hoping for "coordinated action," between member states at the meeting in order to develop a plan aimed at stabilizing global oil prices. The council consists of Saudi Arabia, Qatar and two other Persian Gulf allies in Kuwait and the United Arab Emirates. In recent weeks the group has been met with resistance by Iran, which has been hesitant to cap output as it seeks to ramp up production to pre-sanction levels from 2007. Talks at a closely-watched summit in Doha in mid-April collapsed after Saudi Arabia insisted that Iran participate in any agreement involving a freeze of production.
"Iran supports OPEC’s efforts to bring stability to the market with fair and logical prices, but it will not commit to any output freeze," Mehdi Asalia, Iran's representative to OPEC, told state-run news agency Shana.
Elsewhere, energy traders await the release of the American Petroleum Institute's weekly crude inventory report after the bell on Wednesday for further indications on the supply-demand balance on U.S. domestic energy markets. The report is being released one day later than normal this week due to the Memorial Day holiday.