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FINANCIAL NEWS
Gulf Opec producers dismiss the need to increase oil output
01 Sep 2012
(MENAFN) Gulf members of the Organization of Petroleum Exporting Countries (Opec), said they will not boost their crude oil production unless demand rises, Reuters reported.
Finance ministers from the Group of Seven most industrialized nations called oil-producing countries on to increase output to ensure the market is well supplied.
But Gulf Opec producers dismissed the need for additional production, saying the market was still well supplied.
The Opec ministers agreed to in mid-June to stick to a collective output limit of 30 million barrels per day (bpd), implying a 1.6 million bpd cut from actual supply of around 31.5 million.
Oil prices have surged as Western sanctions on Iran resulted in 1 million barrels bpd loss in supply from the Opec member.
The head of the International Energy Agency (IEA), which represents 28 oil consuming countries, opposed to a release of emergency oil supplies.
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