This marks the fourth cut in the IEA’s 2012 forecast. Meanwhile, before the OPEC meeting outcome is officially known, the ICE Brent forward month future contract came in at US$109.41 up 2.15 cents or 2% while WTI came in at US$100.00 up 1.17 cents or 1.1 per cent when the Oilholic last checked at 19:00CET. Concurrently, the OPEC basket of crudes price stood at US$107.33 on Monday.
Meanwhile, Saudi oil minister Ali al-Naimi arrived in Vienna with more than the customary aplomb declaring to the World’s press that his country’s output had topped 10 million bpd, the highest it has been in recent memory. If his idea was to get price hawks Algeria, Iran and Venezuela to acknowledge an appreciable rise in Saudi supply, since the shenanigans of the last meeting of the cartel in June, then sources suggest it just might have succeeded.
The geopolitical pretext of course is that the Saudis wanted to make up for lost Libyan supplies.
© Gaurav Sharma 2011. Photo: OPEC crest © Gaurav Sharma 2011.