Tehran Sees $55 Suitable Price for Oil: Minister
TEHRAN (Tasnim) – Iranian Oil Minister Bijan Namdar Zanganeh said $55 per barrel is a suitable price for crude oil.
"The price range of $55 per barrel would be suitable for oil," Zanganeh said on Saturday on the sidelines of the 22nd Iran International Oil, Gas, Refining and Petrochemical Exhibition underway in Tehran, Shana news agency reported.
Countries such as China, Germany, France, Italy, Spain, Turkey, Russia, Japan, the Netherlands, Austria, South Korea and Australia have their own pavilions in the Iran Oil Show.
The Iranian minister further said that OPEC and non-OPEC member states have indicated their support for extending a crucial agreement by world’s biggest producers to cut outputs.
"I think non-OPEC oil producers will also second (an) extension of the plan," he said.
In December 2016, the Organization of the Petroleum Exporting Countries (OPEC) reached a landmark agreement with Russia and other non-members to proceed with the plan and slash oil production by nearly 1.8 million barrels a day for six months starting January 2017.
The agreement exempted key member Iran from the plan, allowing it to increase its production by 90,000 bpd to reach pre-sanction levels of around 4 million bpd.
Nigeria and Libya were also exempted from the planned output cut due to internal conflicts which have already decreased their crude production.
OPEC and non-OPEC ministers are due to meet on May 25.
