Iran's OPEC governor: Members' gap closing

Iran's Governor at the Organization of Petroleum Exporting Countries (OPEC) Mohammad Ali Khatibi, whose country holds presidency over the world oil cartel, said on Saturday that OPEC members are narrowing down their differences over production ceiling, given the deteriorating economic conditions in the advanced countries, Fars news agency reported.

"We do not accept that a gap exists in the OPEC since different views have always existed in the OPEC," Khatibi told FNA, dismissing media reports on the widening of rifts among the OPEC members in their latest meeting.

Western media claimed that during the last OPEC meeting certain members like Saudi Arabia and Kuwait demanded an increase in the quota of the world oil cartel.

Khatibi said that during that meeting, certain members were optimistic about the future of the world economy and wanted a hike in the production ceiling due to a forecasted increase in demand, but a majority of others held an opposite view.

"But Saudi and Kuwaiti oil ministers never said that they did not accept or would act in opposition to the OPEC decision," the Iranian governor reiterated.

Khatibi further stated now that the prospects of the US and western economies have become a source of concern for all parties, "I don't imagine that any difference exists in the members' views about the global economy and all parties are coming to the conclusion that the world economy, specially the advanced countries, are faced with serious problems".

Earlier this month, Khatibi had touched on the deteriorating economic conditions in the West, and said that no major change in oil prices was perceived for winter due to the ongoing global economic recession.

"Due to the existing economic crisis, it is predicted that this year no significant changes happen in the oil price by the onset of the cold season," Khatibi said.

He further explained that there were indications that lingering financial crisis in some western countries would lead to a drop in oil demand.

"The drop in demand in recent weeks has been to the extent that some non-OPEC producing countries were compelled to lower their output in proportion to the drop in demand," Khatibi said.