| Follow us on:
|
![Iranian Oil Minister Bijan Namdar Zangeneh said his country will soon boost production by 1 million barrels a day, and expects market demand to absorb the extra amount [Xinhua]](http://thebricspost.com/wp-content/uploads/2015/12/249800854_8-e1449257754250.jpg)
Iranian Oil Minister Bijan Namdar Zangeneh said his country will soon boost production by 1 million barrels a day, and expects market demand to absorb the extra amount [Xinhua]
A final communique following the meeting made no reference to the idea of a production quota cut – from the cumulative 30 million barrels a day – in a bid to boost prices.
Some members are already producing beyond their quota, effectively making daily output closer to 32 million barrels.
In the past year-and-a-half, oil prices have been in almost free fall, dropping from around $80-$90 a barrel to just above $40.
After the OPEC meeting, US crude futures dropped below $40 until they stabilized at $40.10.
The benchmark Brent crude fell to $43.26 a barrel during noon trading Friday.
Friday’s tumultuous meeting, as some media have described it, was made all the more tense because of cash strapped Iran’s pledge to increase its output by at least one million barrels a day after sanctions are officially lifted.
Iran sees it needs the additional output to revitalize its oil industry and refill the coffers affected by years of US and EU sanctions over its nuclear program.
Iran and Saudi Arabia, erstwhile rivals and adversaries, appear to share common ground on rejecting please from fellow members such as Venezuela to cut production output.
The BRICS Post with inputs from Agencies
