OPEC continues to maintain crude oil production quota

On June 8, oil ministers of member countries of the Organization of the Petroleum Exporting Countries (OPEC) meeting in Vienna (Austria) did not agree to increase oil production quotas and will continue to maintain quotas until the next meeting scheduled to take place in mid-December.

Speaking to reporters, OPEC Secretary General Abdullah El-Badri said member countries had not agreed to change production, while Iranian Oil Minister Mohammed ali-Abadi, who currently holds the position of OPEC President, said the increase in oil prices was due to speculation, and that the market was currently well supplied.

Illustration: Internet

OPEC's crude oil production, which accounts for 40% of the world's supply, has been set at 24.84 million barrels per day since the beginning of 2009. Following OPEC's decision to maintain its oil production quota, the price of light sweet crude for July delivery in New York rose $1.65 to $100.74 per barrel.

In London, the price of North Sea Brent crude also increased by 1.07 USD to 117.85 USD/barrel.

The International Energy Agency (IEA) expressed disappointment with OPEC's decision and asked oil-producing countries to increase production to limit high oil prices.

Many Gulf countries have left open the possibility of increasing crude oil supplies to ease consumer concerns that economic growth is being threatened by high crude oil prices, which have been above $100 a barrel for months.

Ahead of the meeting, United Arab Emirates (UAE) Oil Minister Mohamed bin Dhaen Al-Hamli said the market would be more tense in the second half of the year, while his Kuwaiti counterpart expressed concern about rising oil prices.

Meanwhile, some OPEC member countries are concerned that the oil market will become tense in the coming months as demand will increase during the Northern Hemisphere summer and push oil prices further up.

According to VNA