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.

 

Saudi Arabia vows to cover UN aid appeal for Yemen

'Differences' emerge in Libya peace talks

Israel pledges to transfer frozen taxes to Palestinian Authority

Unidentified gunman opens fire on pro-Kurdish party office in Turkey

Iraq PM's spokesman resigns over pro-Saddam song

Tunisia prevents departure of more than 12,000 would-be jihadists

Iraqi forces kill Hussein deputy in Salahuddin province

Iraq massacre site turns into memorial

Israeli coalition talks approaching deadline

Turkish PM condemns EU resolution on Armenian genocide

Tehran calls for immediate Yemen peace talks

Assad accuses Turkey of torpedoing UN Aleppo truce plan

New round of Libya rival talks in Morocco

EU urged to label Israeli West bank products

General Dempsey: Military option on Iran 'intact'

UN chief calls for immediate Yemen ceasefire

Abadi to Iran: We welcome your help as long as you respect Iraq sovereignty

Anger in Indonesia as Saudi Arabia executes second woman

France jihadist attacks fuel unprecedented rise in Islamophobia

Turkey mine chief: ‘I am not a murderer’

France sees progress in Rafale jet negotiations with UAE

Lebanese TV contempt trial opens at slain Hariri tribunal

Fresh round of Iran nuclear talks April 22-23 in Vienna

Yemen calls on renegade army units to drop support for Huthis

UN envoy condemns Libya air strike as 'unacceptable'

African migrants’ hope of reaching Europe dashed

Armenian senior advisor to Turkish PM retires

Egypt to demolish ousted Mubarak’s party HQ

Slow turnout in Sudan polls

UN peace envoy to Yemen quits

Reconquest of all of Anbar remains out of reach for now

Iran holds Obama 'accountable' for fate of nuclear agreement

Arab coalition mulls large-scale manoeuvre in preparation for ‘ground assault’

Libya appeals for Russia support over arms embargo

Turkey vows to brush off any EU genocide decision

Bashir heads toward widely expected victory with ‘empty ballot boxes’

Rebels in southern Syria reject all forms of cooperation with Qaeda affiliate

21 million children in MENA region at risk of having no education

Two military cadets killed in Egypt bombing

Egypt, Saudi consider holding joint military exercise

Kerry 'confident' US can reach Iran nuclear deal

Libya rival talks in Algiers 'great success'

World powers up pressure on Yemen rebels

HRW cites 'strong' evidence of Syria regime chemical attacks

UN Security Council blacklists Houthi leaders