Do More With Reuters
Partner Services

Iran says more oil price falls would harm producers

Sat Sep 6, 2008 1:29pm IST
 
Email | Print | | Single Page
[-] Text [+]

TEHRAN (Reuters) - Iran's oil minister said a continued fall in crude prices would harm producers, the Oil Ministry website Shana reported on Saturday, three days before OPEC ministers are due to meet in Vienna.

Gholamhossein Nozari also said Iran, the world's fourth-largest oil exporter, wanted a "fair" crude price but did not elaborate. Earlier this week, he said $100 a barrel was the lowest appropriate price.

Crude has tumbled from a record $147 in July and was trading on Friday at below $107.

"If the reducing trend in prices continues like now ... the producers will be harmed," Nozari told Shana, making clear this was because production costs had not fallen.

In the run-up to the Sept. 9 meeting of the Organisation of the Petroleum Exporting Countries, Iranian oil officials have said OPEC members should cut output to their agreed targets so that oversupply on the market was reduced.

Iran's OPEC governor, Mohammad Ali Khatibi, this week told Reuters that OPEC may need to cut oil supplies by as much as 1.5 million barrels per day, or nearly 5 percent, to balance global markets by early next year.

Iran is traditionally hawkish on price. Another price hawk, Venezuela, said record prices near $150 were "irrational" and that they would probably settle around $100.

OPEC does not officially have quotas but the term is sometimes used to describe agreed output targets for each member country. Some, notably Saudi Arabia, have been producing above these targets.

Construction workers work at a site as the sun sets in Chandigarh in this December 2006 file photo. REUTERS/Ajay Verma
Economy seen growing at 7.2 pct in FY10 - govt

The forecast reinforces the possibility that the government may start to unwind its fiscal stimulus in the budget.  Full Article 

Photo

Market Update

  • IndiaIndia
  • USUS
  • UKUK
  • Asia
  • Most Actives
Greece's Finance Minister Papaconstantinou addresses reporters during a news conference in Athens, January 20, 2010.
Eurozone agreed in principle to aid Greece

Euro zone countries have decided in principle to help debt-stricken Greece, a senior German ruling coalition source said.  Full Article 

FROM THE MARKETS

After the Bell
After the Bell

Reuters Money's Kshitij Anand updates you on the movers and shakers of the Indian stock market.  Blog 

SHOWCASE

"Claw Back" Pay
"Claw Back" Pay

Banks and regulators hope that threats to "claw back" pay if trades later blow up will rein in risk taking on Wall Street.  Full Article 

 
James Saft
Blaming Asperger's

COLUMN - Did Asperger's help cause the financial crisis?  Full Article 

 
Going Global
Going Global

With Volvo, Chinese eye M&A abroad to win at home.  Full Article 

 
Delivery Woes
Delivery Woes

Boeing 787 delivery schedule could slip - experts.  Full Article 

 
Central Banks Cautious
Central Banks Cautious

Reuters tracks the policies of the world's top central banks as the debate over global economic recovery rages on.   Full Coverage