Indonesia wants OPEC to maintain current production level<\/p>\n
Sandy Darmosumarto, The Jakarta Post, Jakarta<\/p>\n
Minister of Mineral Resources and Energy Purnomo Yusgiantoro
\nwants the Organization of Petroleum Exporting Countries (OPEC) to
\nmaintain its current output level of 24.5 million barrels per day
\n(bpd), as prices remain uncertain.<\/p>\n
He said although oil prices would continue to rise until the
\nbeginning of next year amid rising demand from developed
\ncountries, many OPEC members were concerned about Russia's
\nintention to boost oil production to 8 million bpd.<\/p>\n
\"Therefore, it would be better to retain this level as the
\nstatus quo, not raising nor lowering prices, until we observe
\ndevelopments in January 2004,\" Purnomo told reporters. Purnomo
\nwill become the president of OPEC in January.<\/p>\n
OPEC is to hold a ministerial meeting on Thursday in Vienna,
\nand many analysts expect the current production ceiling to be
\nmaintained.<\/p>\n
\"According to OPEC's estimation, a supply deficit will still
\noccur in January and February of next year, when developed
\nnations are expected to be supplementing their oil stocks,\" said
\nPurnomo.<\/p>\n
\"We expect to experience a drop in demand of up to 2.5 million
\nbarrels per day during the spring (of 2004), a correction of a
\nprevious statement when I indicated a reduction of up to 2
\nmillion barrels per day,\" he said.<\/p>\n
OPEC has also been under pressure to maintain the cartel's
\nproduction ceiling, because any further cuts in production will
\nimperil the sustained growth of the world economies, particularly
\nthose of oil-importing countries.<\/p>\n
Purnomo said OPEC was maintaining a price of US$22-$28 per
\nbarrel.<\/p>\n
The 11 OPEC members are Algeria, Indonesia, Iran, Iraq,
\nKuwait, Libya, Nigeria, Qatar, Saudi Arabia, United Arab Emirates
\nand Venezuela. The group supplies about a third of the world's
\ncrude oil.<\/p>\n
Meanwhile, oil prices nudged back up marginally on Tuesday in
\nthe wake of the previous day's falls, with trade quiet ahead of a
\nmeeting of industry cartel OPEC which is expected to usher in no
\nchanges of note.<\/p>\n
The price of reference Brent North Sea crude oil for January
\ndelivery was up eight cents to US$28.33 per barrel in morning
\ntrade.<\/p>\n
New York's reference light sweet crude January contract rose
\n10 cents to $30.05 in out-of-hours electronic deals.<\/p>",
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