Venezuelan President Nicolas Maduro
Venezuelan President to tarvel to push for Opec, non-Opec meeting
CARACAS, September 16, 2015
Venezuelan President Nicolas Maduro said he would travel shortly to seek support for his push for a summit between the Organization of the Petroleum Exporting Countries (Opec) and non-Opec producers on lower oil prices.
Maduro has lobbied for months for an emergency meeting and coordination with non-Opec nations, but Opec's Middle East producers have pledged to maintain high output in a fight to defend market share against rising competition.
This week Maduro reiterated calls for action within Opec and beyond Opec, mentioning controls on output and price bands.
"Probably in coming days I will travel to reinforce work to achieve this historic summit between Opec producers and non-Opec producers," Maduro said after a four-hour televised broadcast.
His calls for action come as Venezuelan oil prices, which averaged $41.08 last week, exacerbate a dire economic crisis that has goods ranging from cancer medication to car batteries in short supply, while raging inflation slams purchasing power ahead of a key parliamentary election in December.
However, wealthier members of Opec in the Gulf have driven a strategy shift since last year to allow prices to fall in order to maintain market share.
Maduro has traveled to the Middle East and met with Russian President Vladimir Putin in his bid to prompt oil action, but Saudi Arabia has said it sees no need to hold a heads of state summit nor interfere in the oil market.
One Opec source said that should such a meeting produce no concrete outcome, it would have a negative impact on prices.
"I'm making a proposal that I'm sure countries will open up to slowly but surely," Maduro said after meeting with a Saudi delegation.
"This is a win-win proposal. Nobody wins with unstable prices. Oil at $40? No. Minimum, minimum, $70." --Reuters
