OPEC energy chiefs pressed other major world oil producers Thursday to sign a pact pledging to help shore up crude prices, which have fallen dramatically over the past two weeks.
The Organisation of Petroleum Exporting Countries (OPEC) held off from announcing a resolution to keep its own output unchanged as ministers scrambled to persuade non-member exporters such as Russia, Norway and Mexico for "immediate joint action" to stabilize markets, sources in both camps said.
But in Oslo, Norway signalled it was not interested, while Russia was also believed to be baulking at the idea of subjugating its oil exporting policy to the whims of the OPEC club.
The issue has taken on urgent overtones, as oil prices have fallen more than 20 percent since the terrorist assault two weeks ago on the United States. Brent crude remained below 23 dollars a barrel Thursday morning.
OPEC ministers freely admitted Thursday that they were trying to stabilise prices but could not do so if exporters outside the 11-nation club did not play ball.
"OPEC alone cannot solve the whole problem and we need a strong understanding" with non-OPEC countries, said Qatari Oil Minister Abdullah bin Hamad al-Attiyah.
"If in the future the market fluctuates very dramatically downwards, for sure we need a position from them," he told AFP.
Saudi Arabian energy chief Ali al-Nuaimi said that OPEC did not need to alter its current output quota of 23.2 million barrels a day -- a decision expected to be confirmed on Thursday once a deal with non-OPEC countries has been hammered out.
But he added: "We don't want to hand OPEC sole responsibility for defending prices because that lies with everyone.
"If they (non-OPEC members) cooperate, we will defend prices," he said in an interview with the Dubai-based daily Al-Hayat. "If not, we will not be in a position to do it ourselves."
A delegate from a major non-OPEC producer said that OPEC was trying to strongarm other countries into signing a resolution that would amount to far-reaching cooperation on production and prices.
"The main point of members was to press non-members to obey the general line in order to stabilize the oil market," said the delegate.
"A draft resolution was proposed with two key points: immediate joint action against the decline of the oil price and the setting up of a joint study group which will start working here in Vienna."
The delegate said he believed Russia was unimpressed by the overture, while Norway, the second-biggest oil exporter after Saudi Arabia, said Thursday it did not intend bow to OPEC pressure either.
"A change in our policy is not envisaged. We are not even discussing it," a spokesman for the Norwegian oil and energy ministry Sissel Edvardsen told AFP. "We take our decisions in a unilateral way. We are not a member of OPEC."
OPEC's decision to resist the temptation to slash its own production to boost prices will likely be welcomed by Western states for whom low oil prices ease pressure on already weak economies.
Ministers were also exploring ways of sending a message to the market by reining in current overproduction, which some analysts believe could be about one million barrels a day above the current quota of 23.3 million barrels.
Analysts said that quota discipline was really the only option open to OPEC at present.
"The only thing they can do given the environment now after September 11 is to recommit themselves to quota discipline," said Mehdi Varzi, an oil expert with Dresdner Kleinwort Wasserstein.
The cartel's ministers also also due to meet again in November 14, according to al-Attiyah. ― (AFP, Vienna)
© Agence France Presse 2001
© 2001 Mena Report (www.menareport.com)
