OPEC ministers decided after a meeting today in Vienna to maintain their policy of stabilising the market with an output ceiling of 28 million barrels a day but said they were ready to respond to sharp price changes.
Qatari Energy Minister Abdullah bin Hamad al-Attiyah said the production quota implemented by the Organisation of Petroleum Exporting Countries would continue unchanged for now.
However, the 11 oil-producing nations pledged in a statement to remain vigilant about developments in oil markets. They said they were ready 'to take decisions' if necessary at their next meeting on December 14 in Nigeria.
'In light of the many downside risks identified, the Conference also agreed that its President would make the necessary consultations prior to the December Meeting, should market conditions so warrant,' the OPEC statement added.
World oil prices fell to their lowest points since late March today on easing concerns over an Iran-United Nations standoff prompted by Tehran's nuclear programme. In London, Brent North Sea crude dropped below $64 a barrel and in New York, light sweet crude fell under $65.
Brent North Sea crude for October delivery shed $1.23 to $64.10 a barrel after striking an intra-day low of $63.97 - the lowest point since March 28. Brent had struck an all-time high of $78.64 on August 7.
New York's main contract, light sweet crude for delivery in October, dropped $1.20 to $65.05 a barrel in pit trading today. It earlier hit $64.85 - the lowest point since March 28 and more than 17% below its historic high $78.40 reached on July 13.
OPEC said oil prices had 'moderated substantially in recent weeks'.
'The Conference reiterated that the Organisation will continue its proactive policy of supporting market stability by restoring a balance between supply and demand, at prices reasonable to both producers and consumers and conducive to continued world economic growth,' the statement added.
However, the oil producing nations signalled that they were 'continuing to vigilantly monitor supply/demand fundamentals' and were ready to react to any major fall in prices.
'The Conference stressed its determination to ensure that crude oil prices remain at acceptable levels and Member Countries recorded their preparedness to respond rapidly to any developments which might jeopardise their interests,' the statement said.
OPEC's policy of maintaining stability in recent years was largely aimed at stemming overheating prices after oil tripled in value from 2002 on surging global demand. However that policy could be switched later to stop prices dropping too shaprly by reducing the production ceiling or reining in output, analysts and ministers have said.
