Iran says OPEC not to change oil production quota on Friday

VIENNA, Dec 4 (PRIME) -- OPEC is unlikely to cut its oil production quota from the current 30 million barrels per day at its meeting on Friday, but it will not hurt prices as the market has already priced in the decision, Iranian Petroleum Minister Bijan Zangeneh told reporters.

“No, I do not expect any decisions,” he said when asked whether the organization may change its production quota. “I do not expect a fall of oil prices. The market has already taken into account the OPEC decision (to keep oil production).”

But Iran will favor a quota cut when its own production grows to 4 million barrels per day. Tehran expects to raise its production “very soon” after the international sanctions are lifted. Iran will raise production by 1 million barrels per day “on its own, without any foreign investment,” Zangeneh said.

Iraqi Oil Minister Adel Abdel Mahdi said that OPEC will have to agree with countries outside the organization in order to decrease its production quota.

“(Otherwise) other countries will raise production, while OPEC will cut it. So we need global understanding between producers, consumers, OPEC members and OPEC non-members, an understanding between countries,” he said.

He also said that the oil is underpriced now, and U.S. $70-75 per barrel would be a fair price.

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