Min: °C Max: °C
» Weather Details

December 15, 2008 Monday
Updated
Dec 15, 2008
Russia to join Opec?

ORAN (Algeria) - THE president of Opec said on Monday he hoped Russia would join the oil producers' cartel in order to boost the group's impact on the crude market.

'We would like appropriate support on the ground from Russia,' Chakib Khelil told reporters here ahead of an Opec ministerial meeting Wednesday.

'We have always wanted Russia to join Opec.

'Russia would be of special importance to Opec if it joined, it would increase Opec's strength in terms of production share, which would become around 50 per cent (of world output) rather than 40 per cent.'

Mr Khelil said on Saturday that Russia would be represented by Deputy Prime Minister Igor Sechin and Energy Minister Sergei Shmatko at the meeting in Oran, where Opec is expected to decide on a major output cut.

'It's a delegation that is going to be very strong, with about 20 people.

We hope their decision will reflect the level of their representation,' the Opec head said here on Monday.

Russian President Dmitry Medvedev has said Russia was ready to join forces with the Organisation of Petroleum Exporting Countries to stem a plunge in crude prices and could even become part of the oil cartel if membership were in Moscow's interests.

Mr Shmatko, the Russian energy minister, said last week that Russia would announce proposals to reduce its oil output by the Dec 17 Opec meeting.

'Opec has serious plans in relation to a reduction' in oil production quotas, he told reporters.

'We are preparing our own proposals that we will announce no later than Dec 17,' the energy minister said.

Analysts have said that the 13-member Opec group's abiility to check a sharp recent fall in crude prices depends largely on cooperation from non-Opec producers such as Russia, Norway and Mexico.

Prices have fallen by as much as 70 per cent since July as worldwide demand crumbles in the face of a global economic slowdown. -- AFP

S M T W T F S
15 16 17 18 19 20 21
22 23 24 25 26 27 28
Best viewed at 1152x864 resolution with IE 6.0 or FireFox 2.0 and above Copyright © 2008 Singapore Press Holdings Ltd. Co. Regn No. 198402868E | Privacy Statement | Terms & Conditions