(Recasts to add details, comments, background throughout)
RIO DE JANEIRO Oct 7 Oil producers outside the
Organization of Petroleum Exporting Countries are unlikely to
agree to any suggestion from the group to limit production, an
unnamed official at Brazilian state-controlled oil company
Petróleo Brasileiro SA said on Friday.
Even if OPEC extended to countries outside the group a
request to join its strategy to limit crude output and prop up
prices, "it would be very hard for non-OPEC nations like Brazil
to accept it," said the official, who requested anonymity
because the matter is sensitive.
"It would not make much sense," the official added.
OPEC seems to have less power nowadays to undertake any
drive to limit crude production, particularly because of the
shale oil and gas industry boom in the United States, the
Petrobras accounts for around 80 percent of Brazil's oil
OPEC Secretary General Mohammad Barkindo said in Washington
the group was planning consultations with non-members on efforts
to manage global oil output.
"The market changed and the decision power also changed
between groups .... U.S. and Russia are stronger, particularly
the U.S. due to shale," the official said.
Brazil was first invited to an OPEC meeting in 2008, in
Saudi Arabia, when producers were dealing with a completely
distinct situation. Prices were too high and there was the need
for urgent additional supply.
Brazil's oil and natural gas production increased by 25
percent from the end of 2010 to last August to 3.29 million
barrels of oil equivalent per day (boed), as the country
progresses with works in the subsalt area off the coast of Rio
The country is currently the world's 12th largest oil
producer, according to BP's 2016 Statistical Review of World
Energy, a reference database.
(Reporting by Rodrigo Viga Gaier; Additional reporting and
writing by Marcelo Teixeira; Editing by Guillermo Parra-Bernal
and Sandra Maler)