Oil price edges upwards as ministers meet<\/p>\n
Agence France-Presse, London<\/p>\n
Oil prices inched upwards on Friday as dealers took a meeting
\nbetween the energy ministers of Saudi Arabia, Venezuela and
\nMexico as a sign that producers might be paving the way for fresh
\ncurbs on supplies.<\/p>\n
The price of benchmark Brent North Sea crude oil for July
\ndelivery rose five cents to US$27.60 per barrel in early deals.<\/p>\n
New York's light sweet crude July contract was up 21 cents to
\n$30.95 dollars in out-of-hours electronic trading.<\/p>\n
Saudi oil minister Ali al-Nuaimi and the energy ministers of
\nVenezuela and Mexico, Rafael Ramirez and Ernesto Martens,
\nrespectively, were due to meet in Madrid, days ahead of a
\ngathering of members of industry cartel OPEC.<\/p>\n
The Organization of Petroleum Exporting Countries meets in
\nQatar on Wednesday and has been tipped to agree production curbs
\nin a bid to support prices.<\/p>\n
A strong market caused by low crude oil stocks in the United
\nStates ahead of its traditionally gasoline-intensive summer
\nholiday season has reduced the immediate likelihood of production
\ncuts, but analysts said Friday's meeting was significant.<\/p>\n
"There is a view that when they talk, they are looking for
\nconsent to support prices if needed in future," said
\nCommerzbank's Jon Rigby.<\/p>\n
"There is clear action going on at the moment to manage the
\noil price even if it is not exactly clear what is going on," he
\nsaid.<\/p>\n
"We are starting to think that OPEC won't do anything on June
\n11, but they are attempting to set out a framework by which they
\ncan support prices going forward, because when Iraq will start
\nproducing, oil prices will inevitably begin to fall."<\/p>\n
The recent lifting of United Nations sanctions on Iraq
\nfollowing the removal of Saddam Hussein's regime by U.S.-led
\nforces has paved the way for the oil-rich nation to resume
\nexports immediately.<\/p>\n
However technical problems caused by the decrepit state of its
\noil infrastructure has delayed large-scale production for some
\nweeks.<\/p>",
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