KUWAIT CITY - OPEC president Sheikh Ahmad Fahd al-Sabah said Thursday the cartel was prepared to pump more than 30 million barrels per day (bpd) in the fourth quarter -- compared to their new quota of 27.5 million bpd -- to meet growing demand.
"In the fourth quarter, about which world markets are concerned, OPEC will be required (to pump) 30.3 million bpd, according to our figures. OPEC can do that, and we will still have a small spare capacity," said Sheikh Ahmad, who is Kuwait`s energy minister, on his return from an OPEC meeting in Iran.
He said he was referring to members of the 11-nation cartel minus Iraq.
OPEC ministers decided in the Iranian city of Isfahan on Wednesday to raise their oil production ceiling from 27 to 27.5 million bpd and consider a further increase in quotas if prices remain high in the coming months.
The decision was quickly overshadowed in global oil markets by concerns over US inventory levels, which propelled the price of the New York contract for crude to a record of 56.60 dollars a barrel.
Prices soared to fresh record high levels on Thursday, with New York`s main crude contract above 57 dollars per barrel for the first time, underpinned by robust global demand.
"The market needs 27.5 million bpd in the second quarter, which is what OPEC will produce. In the third quarter, 28.5 million bpd will be needed, and the OPEC-10 have this capacity," Sheikh Ahmad said.
Asked about the fact that prices continued to soar after Wednesday`s decision to pump more crude, he said the cartel would monitor the market for between seven and 10 days before starting contacts to decide on measures to be taken.
03/17/2005 15:05 GMT