Iraq Says Oil Fair at $70-$80 as Lower Oil Will Need OPEC - Bloomberg

Iraq Says Oil Fair at $70-$80 as Lower Oil Will Need OPEC - Bloomberg:



"OPEC will need to “step in” amid further declines in oil prices, which are fair at about $70 to $80 a barrel, according to the group’s second-biggest producer.



The Organization of Petroleum Exporting Countries could still hold back from intervening in the market for one or two years, Iraq’s Oil Minister Adel Abdul Mahdi said in an interview. Brent oil dropped about 20 percent since OPEC decided to maintain output at its November meeting in Vienna.



Global oil supply is growing as the highest U.S. output in at least three decades led to a glut that Qatar estimates at 2 million barrels. Saudi Arabia’s Oil Minister Ali Al-Naimi said Dec. 21 high-cost producers will have to make cuts if oil prices keep falling while the United Arab Emirates Energy Minister Suhail Al Mazrouei urged producers from outside OPEC to trim output. Iraq’s 2015 budget assumes a $60 oil price."



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