No need for output hike, says OPEC

No need for output hike, says OPEC

Riyadh: OPEC secretary general Abdallah al-Badri said on 14 November 2007 that there is no need for the oil cartel to increase production now because there is plenty of oil in the market.

“At this time, frankly we don’t see that we need to add more oil in the market," Badri told a press conference in Riyadh ahead of a weekend OPEC summit.

“There is a plenty of oil in the market. There is no shortage of oil," Badri said in response to a question about a decline in US and Japanese oil inventories in the past few weeks.

Badri, however, said a final decision on production will be taken by the OPEC ministers when they meet in Abu Dhabi on 5 December.

“We (OPEC) will show our figures to our ministers in Abu Dhabi. It’s up to them to decide," he said.

Meanwhile, oil traded higher in Asia on 14 November, rebounding from heavy falls sparked by forecasts of lower global demand, dealers said.

In afternoon trade, New York’s main futures contract, light sweet crude for December delivery, was 26 cents higher at $91.43 per barrel.

The contract had slumped $3.45 to close down at $91.17 per barrel in New York trade a day earlier, well below a historic peak of $98.62 reached last week.