OPEC and non-OPEC producers' meeting in Doha, crucial

APS : Monday, 11 April 2016
ALGIERS- The meeting of the members of the Organization of Petroleum Exporting Countries (OPEC) and non-OPEC producers, scheduled for 17 April in Qatar’s Doha, is crucial,
said Monday in Algiers Minister of Energy Salah Khebri, adding that a consensual agreement to freeze production will allow oil market to recover gradually.
“The meeting of 17 April aims at reaching an agreement to freeze the production at its level of January 2016. It is a crucial meeting, because if all countries (…) agree to freeze their output, it will allow the oil market to recover gradually,” Khebri told the press on the sidelines of a meeting on fuel oils.
Oil prices might stabilize at least around US$40 a barrel, if OPEC and non-OPEC producers maintain their output at the level of January 2016, said the minister.
In this regard, Khebri said that the announcement of the meeting has led to gradual increase in oil prices above US$40.
If all producers agree to freeze their output during Doha’s meeting, it would be a first step, which was “unhoped-for” few months ago, he added.
“Oil producers don’t want to cut their output. We have already asked for the decrease of production, but some countries have refused, including non-OPEC members, especially Russia,” said the minister.
In reply to an APS journalist on the position of Iran, which refuses any agreement on output freeze, Khebri said that Doha’s meeting aims at bridging differences between oil producers.
“Each country has its concerns and reasons. We will examine them together and I hope that we will reach a consensus that suits everyone,” he added.

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