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Algeria to seek consensus on oil price

Algeria

<p>Algeria is in talks with oil producers within and outside Organization of Petroleum Exporting Countries (<span class="caps">OPEC</span>), to reach an agreement that would stabilize the oil market and raise prices, the Algerian Minister of Energy, Salah Khebri said on Sunday.</p> <p>“Contacts are underway to stabilize the market, marked by oversupply facing weak demand and the absence of an economic recovery,” said Mr. Khebri, who was quoted by the Algerian <span class="caps">APS</span> news agency.</p> <p>These discussions aim to “build consensus among producing countries to cut production,” added the minister , whose country is a member of <span class="caps">OPEC</span>.</p> <p>“The fact that <span class="caps">OPEC</span> has not taken a decision to reduce production in November 2014 means that the price has continued to fall,” he said.</p> <p>According to the Algerian minister, the talks “are not restricted to <span class="caps">OPEC</span> members only but will also include other major oil producing countries that are not members of the cartel, such as Russia.”</p> <p>“<span class="caps">OPEC</span> is losing ground, its share increased from 44% in 1990 to 31% currently, hence the importance that major non-<span class="caps">OPEC</span> producing countries adhere to this approach of reducing production,” Khebri said.</p> <p>The North African oil minister however warned that Algeria will not participate in the meeting if there is no prior agreement on the decline in production.</p> <p>Oil and gas production account for 60 percent of Algeria’s state budget and the reduced energy earnings has forced the government to slash spending and freeze some major projects.</p>
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