Oil price level not harmful to world economy: Opec
Paris, April 4, 2013
The current level of oil prices is not harmful to the global economy and on the contrary supports energy investments, the secretary general of oil exporting group Opec said on Thursday.
Oil prices have averaged about $110 per barrel this year.
After early signs of stabilisation in the world economy, the last month has seen a series of setbacks with U.S. and European recovery stuttering.
"We believe current price levels are supportive of the energy future we portray, and will not harm the global economy," Opec Secretary General Abdallah Al-Badri told an oil conference in Paris. "The oil price as we see it now is comfortable for producers and consumers."
Badri added: "If prices fall below certain levels, then many investors will find their developments no longer viable."
Opec crude oil output is on course to reach its lowest since October 2011 this month as unrest in Libya, pipeline leaks in Nigeria and Iraqi export disruptions weigh on supplies, a Reuters survey found last week.
The survey indicated top Opec exporter Saudi Arabia was still keeping a lid on output.
Opec is scheduled to meet on May 31 in Vienna to review its output policy for the second half of the year. – Reuters
More INTERNATIONAL NEWS Stories
- Passports requiring probe were on Malaysia flight
- 40 killed in Yemen as Houthi fighters near capital
- Vietnam finds object in sea; search on
- $5bn poll spend to boost India economy
- Libya authorises use of force against Korean tanker
- Ukraine PM says he will go to US to discuss crisis
- Syrian journalist killed covering fighting
- Malaysian jet may have turned back before vanishing
- No sign of missing plane; Malaysia probes false passports
- Two Europeans not on board 'missing' Malaysian jet
- China draws red line on North Korea
- Saudi sentences three to death for 2003 bombing
- First bitcoin machine opens in UK
- US sanctions will boomerang, warns Russia
- China plans $50bn bank to fund projects
- Sony to sell Tokyo 'birthplace'
- Obama orders sanctions over Russian moves
- Crimea parliament votes to join Russia
- Arab League to be revamped
- 'Upskirting' is legal: Massachusetts court
- Singapore probes 'unnatural' death of bitcoin trader
- Onus on world powers for Syria war crimes: UN
- US, Russia set for talks on Ukraine crisis
- Brent oil drops below $109
- Services outshine manufacturing, pushing up jobs
- Bitcoin bank shut down after hacker attack
- India to kick off world's biggest poll on April 7
- China signals focus on reforms
- Hundreds ready for bitcoin exchange class action
- Space taxi, Jupiter mission in Obama budget