According to a senior Iranian oil official, the falling oil prices that has affected the revenues of oil producing countries will be checked and addressed in an emergency meeting called up for the 29th of November.
The 13-member nation of the Organization of Petroleum Exporting Countries (OPEC) will meet in Cairo, Egypt to discuss the oil market.
The Iranian oil official was quoted as saying that ‘It is not an extraordinary OPEC meeting; it is a consultation meeting to discuss market developments. It will be in Cairo on 29 November. “The OPEC headquarters has sent a letter to all OPEC members to inform them about the meeting.’
OPEC president Chakib Khelil had earlier hinted that OPEC may cut output again if oil prices fell further. He also added that non-Arab oil producers could be invited to the Organization of Arab Petroleum Exporting Countries (OAPEC) meeting.
OPEC members agreed in October to reduce supplies by 1.5 million barrels per day, representing about 5 per cent, with effect from 1 November but that measure has failed to stop oil prices declining
OPEC countries, including Nigeria had okayed oil prices at around $80 per barrel because it justified investment in new projects but are stressed at the current price of oil.
As the price continue to slide, OPEC members face reduced revenues and hence struggle to finance domestic projects and are calling for action to halt oil’s slide to around $56 a barrel.
Following the news of an OPEC meeting, Royal Dutch Shell, chief executive Officer of , Mr. Jeroen Dan Der Veer said that investing in oil projects could still be attractive with the price of $50 a barrel if taxes and royalties on oil production are not too high.