Revenues from oil sales in GCC countries will reach $151 billion this year, representing a rise of 84 percent on the amount reported in 1999, and Opec's revenues excluding Iraq are forecast to increase from $160 billion to $280 billion, forecast a study by Emirates Industrial Bank (EIB), quoted by Gulf News.
The EIB study, which was based on average oil prices and production figures, said that production by Opec member countries, excluding Iraq, rose to 30 million barrels per day in November.
The study called on Opec to establish a mechanism that will track the rise and fall of global demand. This existing Opec mechanism, which reduces or raises production when the price fluctuates above $28 or below $22, is in the opinion of the study’s authors slow, and it does not reflect the dynamism of the global market.
During the course of 2001, the study said, major changes will occur in global supply and demand. If a new mechanism is place, Opec will be able to set policy using extrapolations from scenarios based on expected developments, rather than being taken by surprise. — (Abawaba-MEBG)
© 2000 Mena Report (www.menareport.com)
© 2000 - 2019 Al Bawaba (www.albawaba.com)