Oil prices gained about two dollars on Monday ahead of a special OPEC gathering in Vienna scheduled for Friday, where the cartel is widely expected to announce reductions in production targets. New York light sweet crude rose to 73.72 dollars a barrel, while Brent North Sea crude reached 71.61 dollars a barrel for December delivery.
Crude values have fallen by roughly half since hitting record levels above 147 dollars a barrel in July, pressuring OPEC members to act. Energy consultancy CGES said in its monthly report that a production cut agreement was likely, aimed at halting further price declines.
Iran's OPEC ambassador Mohammad Ali Khatibi indicated the group might reduce output in phases, with proposals ranging from one to three million barrels per day under discussion among members. Venezuela also backed a cut, with President Hugo Chavez confirming his country would bring a production reduction proposal to the meeting.
The Vienna session was moved up from its originally planned date of 18 November due to the impact of the global financial crisis on energy markets. OPEC's current chairman Chakib Khelil said over the weekend that a substantial cut should be ordered, though the group has made no official announcement on changing output levels.
Historical summary. TurkishPress restated this wire report, first published in October 2008, in its own words.