The Secretary-General of the Organisation of Petroleum Exporting Countries (OPEC) Mohammed Barkindo and Iran’s oil minister Bijan Zangeneh met in Tehran on Tuesday to discuss global oil prices ahead of an OPEC informal meeting in Algeria mid-September.
The Iranian oil ministry official website reported that Barkindo, a former group managing director of the Nigerian National Petroleum Corporation (NNPC), arrived in Tehran on Monday night.
This is the first visit to Iran by Barkindo in his new post as OPEC secretary general. Barkindo, who assumed office on August 1, enjoyed strong support from Iran to clinch the OPEC job.
Shana, the ministry’s information service quoted Zangeneh to have said after the meeting that the price of oil at $55/barrel would be suitable, adding: “This price makes production of oil by OPEC members profitable, economical and useful, while preventing the rivals from raising their output.”
Members of OPEC will meet on the sidelines of the International Energy Forum (IEF), in Algeria on September 26-28 to revive a global deal to stabilise oil output levels. Non-OPEC member Russia, the world’s top oil producer, is also expected to attend.
Nigeria is yet to publicly declare if it will attend but it has previously supported efforts to stabilise the oil market and rebound oil price as well as committed to a production freeze.
Attempts by OPEC and non-OPEC oil exporters to reach a pact on freezing output in April and June this year so as to boost oil prices failed because Iran, OPEC’s third-largest producer, declined to participate.
OPEC top dog Saudi Arabia refused to concede a freeze without Iran coming on board.
Iran has said it would cooperate in talks to freeze output only if fellow exporters recognised its right to regain market share after the lifting of international sanctions in January under a nuclear deal with six major powers.
