Lukman - We won't put more oil than the market needs
The Secretary General of OPEC, Rilwanu Lukman said in a press conference today in Caracas, that even though OPEC has put extra oil three times in the market this year, prices are overheated due to the decrease in refining, shortage of specific products and the activity of speculators.
"We are not interested in extremely high prices, but concerned with having moderate price levels", said Lukman. "Price of products includes refining, transport and tax, up to 80 percent in some consuming countries.
Governments should not only ask us (to intervene) but also moderate taxes". Lukman said that "OPEC does not presume to interfere in tax policies, but citizens are asking for lower taxation".
With respect to the U.S. decision to mobilize 30 million barrels of its strategic reserve of crude in one month to contribute to the stability of the market, Lukman said that "maybe it will help to ease the market situation.
OPEC has no business to interfere in the use of reserves, but we understand its use is for emergencies, which is not the case. What are you going to do when real emergencies arise?".
Lukman expects to discuss mechanisms aiming at the stability of the market and fair prices during the OPEC Summit next week. "We try to obviate an energy crisis. We need fair prices in order to increase production capacity in the long run, or we will have a crisis in the future. We ask for cooperation", said Lukman.
( petroleumworld )
By Carlos Rodriguez O