MercoPress. South Atlantic News Agency

OPEC closer to increasing production

The Organization of petroleum exporting countries, OPEC, could be holding a formal meeting next May 22/24 in Amsterdam to decide an oil production increase with the purpose of stopping the escalation of oil prices, the highest in decades.

"There is a great chance that the informal meeting of OPEC ministers, parallel to the Amsterdam Energy Forum could become formal", said Abdala ben Hamad al-Attiya Qatar's Energy Minister and former OPEC president. "First we'll meet for a round of consultations. If we can agree we'll make the meeting extraordinary", added Mr. al-Attiya who is participating in a World Economic Forum in Jordan.Mr. a.-Attiya said Qatar supports Saudi Arabia's (the world's leading exporter) proposition to increase OPEC's production by 1,5 million barrels per day.

"I think this shows OPEC is doing what it can" to stop the rise in oil prices that stands at historic levels endangering the recovery of the world economy. Mr. al-Attiya made it a point to highlight that the current level of oil prices has been caused by geo-political factors such as the situation in Iraq, Middle East, fear of terrorism and "can not be blamed on supply problems". "The scare factor is adding eight dollars a barrel".

OPEC currently produces 1,5 million barrels per day above its agreed overall quota of 23,5 million barrels per day. The cartel is positioned to pump up to 28 million barrels per day. However some OPEC members stress that the US dollar has considerably depreciated against other strong currencies such as the Euro and the Japanese Yen.

Oil prices this Monday reached 41,50 US dollars a barrel.