OPEC likely to cut down on production

January 17th, 2009 - 12:01 am ICT by IANS  

Luanda (Angola), Jan 16 (Xinhua) The Organisation of the Petroleum Exporting Countries (OPEC) Friday said that it may consider more production cuts to stabilise the global oil prices.”OPEC will not hesitate to summon a meeting to reduce oil production to stabilise the price in global market, if necessary,” the state-run ANGOP news agency quoted Botelho de Vasconcelos, chairman of the OPEC, as saying.

The chairman, also Angola’s oil minister, added that he is “convinced these cuts would remove the current excess of crude oil in stock and re-balance the supply and demand in the world market”.

The OPEC at its meetings held last December in Algeria, decided to cut production by 2.2 million barrels per day starting January 2009 to stabilise the oil prices.

The crude oil price now stands at below $40 per barrel from $147 in July 2008, a situation that worries OPEC member countries.

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