Algiers/New York (Reuters) – consumers have to adjust to rising gasoline and Oil prices: The organization of the petroleum exporting countries (Opec) has agreed after a long struggle, on a ceiling in Oil production.
The informal Meeting in the Algerian capital, Algiers was to become an extraordinary session, said Qatar’s energy Minister Mohammed al-Sada, after more than six hours of deliberations late Wednesday evening. Thus, the cartel agreed on a restriction of the daily production volume at 32.5 to 33 million barrels (each 159 litres).
The decision means a reduction in the production of almost 750,000 barrels a day compared with August of this year. In addition to the total amount of the Opec have agreed to set up a body to to determine until the next official meeting of the organization in November in Vienna, the production quotas for each member state, said al-Sada.
Oil prices rose due to first reports about an agreement early in the evening. In the futures market, the Barrel of North sea places to put Brent for delivery in November to 6.50 per cent on 48,96 dollars. The price for a barrel of the US variety of West Texas Intermediate (WTI) rose by 6.13 per cent to amounted to 47.41 dollars.
Algeria’s energy Minister Noureddine Boutarfa was not made before the Meeting, significantly, that a price of below 50 dollars per Barrel of Oil (159 litres) is portable and the market and security of supply in the medium and long term are harmful.
Since the middle of 2014, Oil prices on the raw material-world market are in a long-term Deep. In the meantime, they have recovered somewhat. Overall, the low prices, which consumers in the case of gasoline or heating oil benefit to create a number of producing countries and mining companies but more severely. A limitation of the amount extracted to shorten the supply and increase prices.
discrepancies between the major oil-producing countries Saudi Arabia and Iran had been an agreement to a limitation of the production quantities. Non-Opec member Russia, also an important oil Producer in the market, was ready to hold talks with the Opec countries. “There should be an offer, a Meeting between members and non-members, we accept it,” said Russia’s energy Minister Alexander Nowak of the Agency Interfax according to. At the informal Meeting in Algiers, Russia had not participated, however.
The member States of the Opec supply worldwide, approximately one-third of the crude oil and possess about three-quarters of the known reserves.