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To: Haim R. Branisteanu who wrote (53697)	6/11/2000 11:58:00 PM
From: Techplayer	Respond to of 99985

RTR 23:05 UPDATE 1-OPEC's Lukman sees no oil boost before June meeting UPDATE 1-OPEC's Lukman sees no oil boost before June meeting -------------------------------------------------------------------------------- UPDATE 1-OPEC's Lukman sees no oil boost before June meeting (adds Lukman comments paragraphs 7-10, background 11-12) By Timothy Gardner CALGARY, June 11 (Reuters) - OPEC Secretary-General Rilwanu Lukman said on Sunday a recent OPEC plan to moderate surging oil prices would not be implemented before the major producers' June 21 meeting in Vienna. "It was always an informal plan," said Lukman, who is in Canada for a world oil-industry summit. "We are very close to the meeting and I don't see OPEC triggering anything unusual before June 21." The plan, known as the price-band mechanism, called for the Organisation of Petroleum Exporting Countries to raise oil output by 500,000 barrels a day when a rolling average price of the OPEC basket of crudes went above $28 a barrel. The average rose above $28 on June 8, but OPEC did not boost output. OPEC president and Venezuelan Oil Minister Ali Rodriguez, who formulated the plan, said on Friday that OPEC members had not agreed yet on increasing output despite the sharp rise in prices. Recent high oil prices gave a false impression that world supplies were tight, but with crude surging above $28, consultations regarding an increase in production were under way among cartel members, Rodriguez said. Lukman said the current price for the Nigerian basket of crudes, at about $28 a barrel, was reasonable. "The level is about right -- much more than this will be counter-productive to us. We've got to moderate it so it doesn't get out of hand." North American benchmark West Texas Intermediate crude in New York closed up 42 cents to $30.20 a barrel on Friday, clinging to high levels that have persisted for the past two months. A period of high global oil demand and a shortage of reformulated clean gasoline in the United States have made for a short-term aberration in crude price, Lukman said before the opening ceremonies of the 16th World Petroleum Congress in Calgary, Canada's oil capital. Constant communication among OPEC members was the best way to make sure prices did not get out of hand, he added. Lukman, who is also Nigeria's presidential oil adviser, is among several OPEC officials attending the oil summit, which features as well a number of top executives from the world's major oil companies. The event, attended by 2,850 delegates from 95 countries, is being held to discuss such issues as oil prices, the global energy economy, environmental problems with fossil fuels, as well as exploration, production and refining technology. 531-1624) REUTERS Rtr 23:05 06-11-00