ECON Opec members seek emergency meeting after price collapse

http://www.ft.com/cms/s/0/417df05e-9555-11dd-aedd-000077b07658.html
Opec members seek emergency meeting
By Carola Hoyos in London
Published: October 8 2008 17:48 | Last updated: October 8 2008 17:48

Almost half the members of the Opec oil cartel are considering an emergency meeting in Vienna next month as oil prices dropped to their lowest level in nearly a year.

Almost half the members of cartel have in the past few days called on the group to act to halt the slide before their next official meeting scheduled to take place in Algeria in late December.

Iran, Libya, Nigeria, Iraq, Venezuela and Ecuador, whose economies tend to be most dependent on high oil prices and whose ministers are among the most hawkish of the 13-member group, have all lobbied for the cartel to drop output.

Their calls came as oil consuming nations moved to bolster their economies in a co-ordinated interest rate cut.

Oil prices on Wednesday resumed their slide towards $85 a barrel, a level last reached in December last year.

Nymex November West Texas Intermediate fell $3.06 to $87 a barrel, while ICE November Brent slid $2.96 to $81.

Opec’s next meeting was scheduled for December 18 in Algeria, but ministers are now saying they could meet on November 18 in Vienna, site of the group’s headquarters.

Opec controls nearly 40 per cent of the world’s oil supply, and at its meeting last month pledged to reduce its production by about 500,000 barrels a day in an attempt to boost prices. So far the group’s reduction has fallen far from that mark, but slowing production often takes more than a few weeks.

The world consumes about 87m barrels a day of oil.

Bizarre, insulting, and disgraceful really. What arrogance they have, worse cartel of all.
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To imagine that just a few years ago, they were collectively saying that oil above $70 was simply unsustainable and 'bad' for the global economy.

Now they are used to such levels, they can't bear the idea of anything less than $100.
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If we get even a short term depression in early 2009, there is a good chance of oil at $50 or less. That would be slap in the face to the oil barons, those corporate pigs who have rigged prices for decades.

delete

The price drop must be Bushes fault, right? Wasn't the price increase his fault too?

Bush Troll. (LOL, that paints an odd mind pic)

Greed is everywhere, not exclusive to the USA and our banksters.

*mumbles something about capitalism*

Bless their little ole hearts

Too bad OPEC. I guess this crunch truly is across the board. I just hope it hits you the worst!

Well, at prices less than $100/bbl, it becomes far more difficult for them to adequately fund their raghead terror network around the world.

Its prolly our fault for all that talk about alternative energy, hybrid cars, and energy conservation.... we need to get back to drill drill drilling, and until 10 years from now when our new oil would hit the market, BUY BUY BUY their oil

Nothing like a meeting of the countries that hate you to plot a way to kick you when you are down.

I hope they understand the significance to them at keeping our economy going. If the US crashes and people lose their jobs and society halts, there will be no need to purchase oil because no one will be able to afford it.

They walk a tight line. Outprice the oil and they can shoot themselves in the foot.

The quicker the US can go back to producing its own oil and being self sufficient and stop relying on the countries that plot for our demise to purchase the oil we need, the better. Solves three problems...stops funding terrorists with our money, lowers the price of gas for ourselves and creates new jobs and industry in the US.