This just in from Reuters: a source confirms that OPEC countries have approved to cut production by 1 Million barrels a day. I’ve usually not posted updates on the prices of petroleum because the volatility of which would result in numerous postings…
Still to be discussed by OPEC members however is the quota for each specific country to follow which will make up the 1M production cut. OPEC produced 29.7 Million Barrels/day this september, which was way above their target of just 28M b/day.
This is OPEC telling us that we should live with the $60/barrel price… the last cut done by OPEC was 2 years ago… in 2004 at that time the average price per barrel was $37.66/barrel…
Category: Oil
April 17th, 2007 at 9:35 pm
[…] The question here is, can you blame Oil companies for their record profits? A company is in business to make money, where is the fault in that? The fault is when you are in a cartel and intentionally cut oil production to maintain the price. Still, is it really because you want to maintain the price? or hide the fact that you as an oil exporting country are running out of oil? […]