OPEC sees no need to trim oil output

Oil&Gas Materials 11 December 2012 12:09 (UTC +04:00)

Azerbaijan, Baku, Dec. 11 / Trend A.Badalova/

OPEC members are satisfied with the current oil prices and see no urgent need for trimming back group-wide output, International Oil Daily reported with the reference to OPEC President and Iraqi Oil Minister Abdul Kareem Luaibi.

"I can say there is no volatility [in the market]. There is a kind of stability in the prices and the other issues for the last four months," Luaibi said.

He said that there was no evidence that the market was oversupplied in the fourth quarter adding that the oil market is stable so far.

OPEC 162nd ordinary meeting will be held in Vienna on December, 2012.

According to the latest OPEC oil market report, organization's output amounted to 31.23 million barrels per day (bpd) in the third quarter of 2012 compared to 31.49 million bpd in the second quarter of the year.

Iraq's oil output increased by 0.17 million bpd to 3.13 million bpd in the third quarter of 2012.

According to the International Energy Agency (IEA) estimates, OPEC crude oil supply dipped by 30,000 bpd to 31.15 million bpd in October, which is a nine-month low.

With regard to OPEC new head Al-Luaibi said that there is "no agreement so far" regarding choosing the next OPEC secretary-general. He also warned that failing to reach a compromise on the secretary-general "is very dangerous for the future of the organization."

"This may affect the markets. I want all the OPEC members to understand the danger," he said.

Earlier Iranian ex-minister of oil Bijan Namdar Zangeneh said that Iran should veto the post of secretary general for Saudi Arabia and Iraq in the upcoming meeting of the OPEC.

"Iran should not allow Arab members of the organization to take on the post of secretary general, as they did the same with Iran in the past," he said.

According to Al-Luaibi, extending the term of current Secretary-General Abdalla el-Badri would be "illegal."