OPEC probably will not cut output: Purnomo<\/p>\n
Bloomberg, Singapore<\/p>\n
OPEC would probably not cut oil production when it meets in June
\nbecause prices are high, Indonesia's Energy Minister Purnomo
\nYusgiantoro said on Thursday.<\/p>\n
The Organization of Petroleum Exporting Countries is pumping
\nat full capacity, producing about 30 million barrels of oil a
\nday, Purnomo said.<\/p>\n
OPEC will next meet on June 15 in Vienna.<\/p>\n
\"Right now we are doing it at maximum capacity,\" he said.
\n\"Markets are over-supplied.\"<\/p>\n
Oil and gasoline prices reached records last month as concern
\nthat rising demand might outpace supply eclipsed efforts by OPEC
\nto bring prices down.<\/p>\n
The group agreed in March to boost oil-output quotas by
\n500,000 barrels per day (bpd) to 27.5 million bpd, and to add
\nanother 500,000 bpd as early as May should prices continue to
\nrise.<\/p>\n
OPEC is unable to control prices because a lack of refining
\ncapacity in the U.S. and investments by hedge funds are pushing
\nthem higher, said Qatar's energy minister Abdullah bin Hamad al-
\nAttiyah on May 9.<\/p>\n
Crude oil futures in New York have fallen from a record
\nUS$58.28 a barrel reached on April 4 though are 23 percent higher
\nthan a year ago.<\/p>\n
\"We still have a high price. This high oil price is not
\nbecause of OPEC,\" Purnomo said.<\/p>\n
The International Energy Agency, an adviser to 26 countries,
\nsaid in its monthly report on Wednesday that rising oil
\ninventories are insufficient to compensate for the lack of spare
\nproduction capacity that's keeping oil prices above $50 a barrel.<\/p>\n
Crude oil for June delivery on the New York Mercantile
\nExchange fell as much as 60 U.S. cents, or 1.2 percent, to $49.85
\na barrel in after-hours electronic trading after a U.S.
\ngovernment report Wednesday showed that the country's oil
\ninventories rose last week.<\/p>\n
Oil production by the 11 members of OPEC rose 0.9 percent to
\n30.7 million bpd in April, the highest since October, a Bloomberg
\nsurvey showed last week.<\/p>",
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"sponsor": "Okusi Associates",
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