LONDON, Oct 20: Oil prices rose $2 on Monday on growing signs that Opec will announce production cuts at a special meeting in Vienna this week in a bid to shore up the revenues of member countries, dealers said.

New York’s main contract, light sweet crude for delivery in November, jumped $2.09 to $73.94 a barrel.

Brent North Sea crude for December delivery climbed $2.02 to $71.62 a barrel.

Crude prices have halved in value from record highs of above $147 struck in July, prompting calls from key Opec members that the oil cartel should cut its output targets when it meets in the Austrian capital on Friday.

“Opec will agree to cut production when it meets, arguing that it needs to prevent a (further) price collapse,” energy consultancy CGES said on Monday in its latest monthly report.

By cutting output, Opec will hope that oil prices surge on markets, thus improving earnings for its members.Iran’s ambassador to the Organisation of Petroleum Exporting Countries said on Monday that the cartel may agree to cut oil production in stages when it meets on Friday, the official IRNA news agency reported.—AFP