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TEHRAN, Oct 16: Iranian President Mohammad Khatami and his Venezuelan counterpart Hugo Chavez on Tuesday discussed the oil market situation following the September 11, attacks and notably the slide in prices.
In a telephone conversation reported by state radio, Khatami called for Opec producers to coordinate their policies in order to avoid a drop in the price per barrel and to guarantee the interests of producing and consuming countries.
Chavez, who will be travelling to Tehran next week, for his part expressed his “preoccupation” over the drop in oil prices, the radio said.
Earlier this month, Chavez said he is lobbying other members of the Organization of Petroleum Exporting Countries (Opec) to shore up oil prices, possibly through a cut in output.
He said he had been in touch with Iran, Mexico and other OPEC members in order to reach an agreement on the defence of oil prices.
Also earlier this month, Khatami blamed the slumping crude prices on what he said was an output increase by non-Opec oil producers.
The reason for the decrease in oil prices is an increase in production by non-Opec producers, Khatami told Chavez during a telephone conversation.
Khatami vowed that Opec members will try to solve the problem, expressing hope that efforts by Iran, Venezuela and all other Opec members and non-Opec members will prevent a crash in oil prices.
Crude prices have slumped in the wake of the terror attacks on New York and Washington, as markets react to slowing demand from increasingly recession-hit economies around the world.
LONDON: Oil prices were stable on Tuesday as dealers paused for breath, in the absence of any sign of imminent moves from suppliers.
The price of Brent North Sea crude for November delivery was down six cents at $21.62 a barrel. The New York light sweet crude November contract closed Monday 21 cents lower at $22.29 a barrel.
It’s a very quiet start. There’s a distinct lack of any news in the market, said Jim Chilcott from the brokerage company GNI.
Dealers awaited the publication later on Tuesday of new figures for crude and distillate stocks from the American Petroleum Institute (API), which usually gives the market impetus.
Dealers were expecting a rise of 2.5 million barrels in crude stocks and less significant rises in reserves of distilled products and gasoline, according to Chilcott.
Presidents Mohammad Khatami of Iran and Hugo Chavez of Venezuela held a telephone meeting on Tuesday morning to discuss the oil market and the low price of crude, according to Iranian radio.
In a telephone conversation reported by state radio, Khatami called for Opec producers to coordinate their policies in order to avoid a drop in the price per barrel and to guarantee the interests of producing and consuming countries.
Crude prices have slumped in the wake of the terror attacks on New York and Washington, as markets react to slowing demand from increasingly recession-hit economies around the world.
The basket oil price used by the Organization of Petroleum Exporting Countries (Opec) meanwhile fell back to $19.63 a barrel on Monday, as opposed to 19.82 dollars on Friday.—AFP
