Opec says oil supply increase 'worrying'

[pampango]

Source: BBC

Opec has told the BBC World Service that compliance with production targets fell to 50-56% last month compared to 80% a year ago.

Secretary General Abdalla Salem El-Badri told the BBC's Business Daily programme it is "worrying" and could lead to oversupply and price falls. He also said an oil price below $70 would hit investment in new supply.

Mr El-Badri also said that whilst the global recovery was still fragile, Opec was experiencing increased demand from China, India and the Middle East.

Opec countries supply about 40% of the world's oil supply and have nearly 80% of the world's crude reserves.

Read more: http://news.bbc.co.uk/2/hi/business/8495198.stm

[apnu]

1. Screw OPEC! Ride bicycles and buy electric cars! (nt)

[mbperrin]

2. It would break my heart if the oil companies couldn't get every

dime they wanted.


Wait...

[Roland99]

3. But...but...but...I thought we didn't have a glut of oil on the market???

That's partly why the price has stayed in the $75-80/bbl range during a period it typically drops precipitously (fall/winter months).


Hmmm....have we been had?



Say it ain't so!!!!

[thereismore]

4. I hope with alternative energy sources, production will further drop. Suck on that, Abu Dhabi. nt

[M155Y_A1CH]

5. Kick for the afternoon

:kick:

[Rapier09]

6. Goodbye OPEC

Actually it should be interesting to see what kind of effect it has on Canada,Mexico and the States.

Especially in Alberta,maybe shale mining wasn't such a great idea.

[troubledamerican]

7. Pretext to a takedown operation

"Whoops, we had to cut production and now oil is $400/barrel."

"Blame Obama. Bush had it all under control much better."

[carla]

8. Production targets.

It means members are no longer complying with OPEC production rates. Some are pumping more so that they can benefit themselves at the cost of weakening the cartel. It's only taken 50 years for the cartel to start unraveling...Godspeed,bring on the oil bleed!!!