14 November 2009 / REUTERS, LUANDA
OPEC should keep oil production unchanged at its last meeting of the year in December due to high oil stocks and weak fundamentals in the global economy, the group’s president said on Friday.
Jose Botelho de Vasconcelos, who is also Angola’s oil minister, told journalists that although many in the group were inclined to maintain the current levels of production, OPEC had the capacity to increase production at any time. “We know that there are still some stocks in the market and the economic fundamentals are still not being felt,” Botelho de Vasconcelos said on the sidelines of a session in parliament. Asked if he expected a decision by OPEC to change output in December, he replied: “I don’t believe so. But it’s an issue that could be raised, although that is currently not the sentiment in the group.“If there is a need to [raise production], yes, but the sentiment indicates we will maintain production.” OPEC will meet in Luanda, Angola on Dec. 22 to decide on its oil production policy.
OPEC has kept official output targets unchanged at meetings this year, after it agreed to curb output by 4.2 million barrels per day last year. Botelho de Vasconcelos also said he hoped Angola would hold a new tender for oil exploration licenses in 2010 after it suspended a tender in the first half of 2008 before the country’s first post-war parliamentary elections.
