Omani Minister of Oil and Gas: OPEC not to cut output
Dr. Mohammed bin Hamad al Rumhi, Minister of Oil and Gas, has said he believes the Organisation of Petroleum Exporting Countries (OPEC) will not take a decision on cutting production in its next meeting in Iran on March 16th.
According to ONA, the Minister said the OPEC meeting will produce appropriate decisions that will guarantee sufficient supplies for international markets and protect the interests of oil producing countries from of market fluctuations and price collapse.
Al Rumhi said failure to take decisive action to secure the future of oil and its prices and protect the OPEC unity in the future might lead to a setback and a deterioration in oil prices to levels that will harm interests of all oil producers. He said oil price stability in the future depends on coordination between OPEC and non-OPEC producers adding that the Sultanate will participate in the OPEC’s forthcoming meeting in Iran as observer.
The Omani minister said the current rise in the prices of oil has nothing to do with the supply–demand equation. “It is not possible to expect output reduction for fear of price collapse as a result of expectations of a drop in world demand for oil,” he said.