OPEC’s latest meeting at its Vienna headquarters welcomed back a lost member, Iran, and decided to maintain the status quo for another six months.
Production will not be increased to allow Iran to regain its former quota and second producer position, currently held by Iraq. The agreement caused a dollar-a-barrel fall in the price of Brent crude.
“I’m sure that all OPEC members show wisdom and when member countries, after limitation, return to the market they understand (that) they should open the doors for him and not fight with him,” said Iranian Oil Minister Bijan Namdar Zangeneh.
Since early 2012, when tougher sanctions on Iran first started to take their toll, output from the country’s fields has dropped to about 1m b/d, down from 2.5m b/d, which is equal to the loss of about $80bn in income.
So OPEC faces production surges from two of its members, plus fields coming onstream in the USA as fracking production rises. How to keep prices high with so much extra capacity?
Iran has already tried to get OPEC quotas changed in its favour, restoring market share taken by Iraq, and an increasing number of OPEC members are wondering if their low production costs means they could sell more if the price was lower.
Copyright © 2014 euronewsMore about:
- 1More Candy Crush as Candy Crush Soda Saga launched in London
- 2Food basket attack with olive oil and chocolate in the firing line
- 3Volkswagen announces €85 bn investment package
- 4Low inflation rates hurting Eurozone says Draghi
- 5Big supermarkets face headaches in Hungary as parliament debates new law
- 1euronews live TV - News | euronews : the latest international news as video on demand
- 2Sweden becomes first EU country to recognise the Palestinian State | euronews, world news
- 3Italy swamped by flash floods | euronews, world news
- 4Back to School for Romania’s new First Lady | euronews, world news
- 5What will you ask US Senator John McCain? | euronews, world news
- 6Turkish president Erdogan unveils his new palace of a thousand rooms | euronews, world news
- 7India PM Modi appoints Yoga minister | euronews, world news
- 8Vladimir Putin most powerful man in the world – Forbes | euronews, world news
- 9[Live] Rosetta’s Philae lands on comet 67P and enters the history books | euronews, world news
- 10European e-revolution people rise up | euronews, world news
- 11International tv news | euronews: European and International tv news bulletin
- 12Where is the best place in Europe for women? | euronews, world news
- 13Putin plans to leave G20 talks early amid Ukraine pressure | euronews, world news
- 14Transcript of hanged Iranian woman’s final message released | euronews, world news
- 15Nadia Comaneci: gymnast of perfection and defector | euronews, the global conversation
- 16US says ISIL makes $1 million-a-day selling oil – even to enemies | euronews, world news
- 17Edgars Rinkevics: “I am gay. Good luck all of you.” | euronews, world news
- 18Philippe Starck: ‘Words like longevity and legacy have become almost avant-garde’ | euronews, the global conversation
- 19Revealed: Europe’s capital cities where it’s hardest to be a foreigner | euronews, world news
- 20Syria: Islamic extremists pledge to press ahead with battle for Kobani | euronews, world news
Wires > Business
- 20:17 CET Aviva says will compensate customers sold wrong annuities
- 18:53 CET Aviva sold inappropriate pensions – Telegraph newspaper
- 18:43 CET Albanian opposition rallies against tax, power burden
- 16:07 CET SGL says in talks with many carmakers to supply carbon fibre parts
- 15:55 CET Swiss agency has more queries over Etihad plan to buy Darwin stake
- 15:30 CET Europe not at risk of full-blown deflation – ECB’s Constancio
- 15:04 CET Volkswagen on track to reach 2018 margin goal – Wirtschaftswoche
- 14:46 CET Thyssen CEO says sale of submarine unit possible – Sueddeutsche