OPEC Oil Ministers to Meet in Kuwait Monday

OPEC oil ministers to meet in Kuwait Monday

KUWAITI CITY, Dec. 9 (Xinhua) — The Organization of Petroleum Exporting Countries (OPEC) announced Friday that it will hold a ministerial meeting here Monday to chart production policy for the early part of next year.

Kuwaiti Minister of Energy and Oil Sheikh Ahmed Fahd al-Ahmed al- Sabah, whose country holds the current OPEC presidency, told reporters here that no reduction in OPEC’s current level of production will be tackled at the meeting.

The oil producer group would sustain its current ceiling of production for the meantime, he said, adding “I made a proposal to the ministers that we should continue with our production level without changing anything.”

Sheikh Ahmed, however, said that OPEC may meet again in late January or February to review stock levels in big markets like the United States.

Analysts remain nervous that prolonged cold weather could drain stocks of heating oil as the world’s overstretched refining system cannot cope with any sudden surge in demand.

In its efforts to control prices, OPEC is pumping near full capacity at around 30 million barrels per day, over-shooting its 28 million bpd official output ceiling.

In September, the group said it would offer up all of its two million bpd of spare oil if the market needs it.

But Sheikh Ahmad saw no reason to tamper with the arrangement, saying “if there is a call for it, I think, as Kuwait, we don’t mind keeping the two million in the market.”

Meanwhile, Algerian Energy and Mining Minister Chakib Khelil, who arrived here for Monday meeting, shared the view with his Kuwaiti counterpart, saying he believes world oil demand would be sufficient to absorb current output.

Established in 1960, OPEC groups Algeria, Indonesia, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the UAE and Venezuela.