First Published: 2013-04-17

 

Iran considers oil price at $100-120 'logical'

 

Analysts say OPEC could cut back production if Brent price crosses below $100.

 

Middle East Online

TEHRAN - Sanctions-hit Iran considers the "logical" price of crude to be around $100 to $120 a barrel, its oil ministry said on Wednesday, ahead of an OPEC meeting next month.

"The logical price for oil is around 100 and 120 dollars a barrel," ministry spokesman Alireza Nikzad told reporters on the sidelines of an oil and gas trade fair in Tehran.

Oil prices were mixed in trade on Wednesday.

New York's main contract, light sweet crude for delivery in May, fell 10 cents to $88.66 a barrel but Brent North Sea crude for June was up 11 cents at $100.20. The Brent contract on Tuesday fell below the $100 mark for the first time since July.

The $100 price for Brent is considered ideal by OPEC kingpin Saudi Arabia, the world's top oil exporter, Commerzbank analysts noted, and crossing below it could prompt the oil cartel's members to cut back production to support prices.

OPEC is set to meet in Vienna on May 31.

Iran is OPEC's fourth biggest producer, after Saudi Arabia, Iraq and Kuwait, according to the group's data. In 2011, it ranked second.

Its output dropped to 2.67 million barrels per day in February, from 2.72 the previous month, OPEC said in April, citing secondary sources.

Tehran's own communications, however, still insist on its position as runner-up, putting oil production at 3.7 mbpd in February, the last month for which figures were available, the OPEC report added.

Iran has been under an oil embargo imposed by the European Union since July 2012, when European purchases of Iranian crude ended and also led to decreasing Tehran's oil exports to its Asian customers from 10 to 30 percent.

 

Drone strike kills at least 30 ‘Qaeda’ suspects in south Yemen

Without proof, France fires new chemical accusations at Assad regime

Kuwait shuts two papers for breaking news blackout on 'coup tape'

Twitter seeks to end ‘war’ with Erdogan: Two ‘leak accounts’ blocked!

Female candidates push rights issue to fore of Iraq election campaign

Rouhani engages in sweet talk: Iran women not second class citizens

Involvement in violent protests sends Morsi supporters behind bars

Suicide bomber targets Imam Kadhim University in Baghdad

Worse yet to come in South Sudan: Three-year-old nation on brink of collapse

Assad visits Maalula to celebrate ‘victory’ and ‘Easter’

Islamists kill 11 soldiers in worst attack on Algeria army in years

Kidnappers of Tunisian diplomat demand jailed Libyans release

Landmine blasts Tunisia soldier amid growing jihadist threat

Marzouki sets an 'example' by cutting salary by two-thirds

Rouhani: Iran does not intend to be aggressive but can defend itself

Turkey to Russia: We demand a gas price revision

An extraordinary meeting: Gulf ministers agree to end tension with Qatar

US releases $450 million Iranian frozen assets

‘Retaliation is life’ group vows to attack Egypt security forces

For Massacre-scarred Algeria village, peace is worth more than wealth

An act of heroism: Iraq policeman sacrifices himself to shield army recruits

UK ‘determined to catch’ killer of Libya embassy policewoman

Experts: Washington demanded removal of Saudi spy chief

Future of Algeria on wheelchair

Palestinians rally for solidarity with Israel-held prisoners

Turkey may clinch bid to dismantle Italy’s wrecked ship

Israeli, Palestinian negotiators to hold meeting with US envoy

UN ‘gravely concerned’ about South Sudan oil state fighting

South Sudan war: Child soldiers consumed by desire for retribution

Algerians casting their vote for president

Syria world’s most perilous country fro journalists

Egypt jails ex-presidential hopeful for fraud

Egypt leftist leader urges all revolutionary groups to unite

Jordan ‘destroyed’ combat vehicles entering from Syria

South Sudan army loses key oil town of Bentiu

Lebanon parliament soon to elect new president

Zarif to discuss Caspion Sea states in Russia

MERS spreading in Saudi Arabia

Algeria finally opens its piggybank to lure back exiled youth

Suicide bombs rock Ramadi government compound

Three Palestinians killed in Gaza blast

Peace talks delayed after Palestine blamed for fatal shooting

Palestinians clash with Israeli police in Al-Aqsa

Undercover New York police unit that spied on Muslims disbanded

Washington will not issue visa for Iran UN envoy