The Hindu : International : Oil prices will remain high, says OPEC

Online edition of India's National Newspaper
Monday, Jan 31, 2005

International

International

Oil prices will remain high, says OPEC

VIENNA, JAN. 30. OPEC warned on Sunday that oil prices, already hovering near $50 a barrel, would remain high through the spring, even as the cartel decided to keep its production ceiling at 27 million barrels a day.

The decision, reached at a meeting of the 11-nation group in the Austrian capital, offers little solace for consumers worried about the price of heating oil this winter.

The Kuwaiti Oil Minister, Sheik Ahmad Fahd al-Ahmad al-Sabah, who leads the group, said he was given permission to conduct a meeting via telephone before the next meeting in March to address the production issue if market conditions warrant.

Mr. Al-Sabah said the group's decision was aimed at bringing more stability to the market, and called on consumers and producers to ``walk together ... for prices to be acceptable.''

The Organization of Petroleum Exporting Countries also decided to temporarily suspend its price band of $22 to $28 a barrel, which was set in March 2000 and has largely been ignored since 2004.

The Iranian Oil Minister, Bijan Namdar Zangeneh, said the price needed to be changed, but added that OPEC did not have a specific target for its reference basket of seven crudes. On Friday, the basket price stood at $41.88. — AP

Printer friendly page
Send this article to Friends by E-Mail

International

News Update

Stories in this Section

Rice sees tough time ahead

"Columnists paid to back Bush plans"

U.S. to stay in Iraq

Dhaka denies rise of Islamist militancy

Violence mars Hamas victory rally

Oil prices will remain high, says OPEC

U.S. pressure behind Al-Jazeera sale plan?

Bush may block plan for Africa

Inspired by Mandela, British MP speaks out about his HIV

Homework takes teacher to court

U.K. plane crashes in Iraq

Three killed in Kuwait shootout

Jakarta, rebels cut short talks

``Economic cooperation agreement will bring India, Singapore closer''