Algerian Min: Oil price to exceed $55 on OPEC consensus

EghtesadOnline: Algerian Minister of Energy and Mining Minister Noureddine Bouterfa said in Tehran on Saturday that oil price will exceed 55 dollars after OPEC reaches an agreement.

News ID: ۷۳۸۲۷۲

27 November 2016

'If OPEC in its 171st session in Vienna reaches agreement, crude price will rise up to 50 to 55 dollars a barrel as of 2017 and go to 60 dollars range by end of 2016,' Bouterfa told reporters after a meeting with Iranian Minister of Petroleum Bijan Zanganeh.

According to IRNA, he said that in his meeting with Zanganeh, they discussed mechanisms of the OPEC 171st regular session to be held in Vienna on November 30.

He added that he had informed Iranian Minister of Petroleum in today's meeting on Algerian government's proposal to cut OPEC output by 1,100,000 bpd.

He noted that the proposal is to be studied by Iran and reach a conclusion in the 171st OPEC session.

The Algerian minister said the non-OPEC members also suggested to cut output by 600,000 bpd.

'We should avoid the oil prices falls detrimental to global economy. We've pinned hopes in the next OPEC session so as to save oil market from the stumbling block.'

He announced that in case of failure to reach agreement, oil price is expected to reach less than 50 dollars a barrel.

Asked to what extent he was optimistic about the OPEC agreement in Vienna, the Algerian Minister said, 'We are highly optimistic that all the OPEC members will on November 30 reach agreement.'

He asserted that within days to the next OPEC session, 'We and Iran will continue coordination to reach final accord.'

The 171st OPEC session will be held in the OPEC permanent headquarters in Vienna on Wednesday, December 30.

OPEC in its extraordinary session in Algerian on September 28, decided to fix its production at the level of 32,500,000 bpd.