Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : The Electric Car, or MPG "what me worry?" -- Ignore unavailable to you. Want to Upgrade?

To: sageyrain who wrote (64)	9/29/2006 7:05:50 PM
From: Tadsamillionaire	Read Replies (2) \| Respond to of 17514

OPEC Says Venezuela, Nigeria to Cut Oil Production (Update4) By Stephen Voss and Oliver Klaus Sept. 29 (Bloomberg) -- OPEC, seeking to stem a two-month slide in oil prices, said Venezuela and Nigeria will cut crude production by a combined 170,000 barrels a day. Venezuela, the fourth-biggest member of the Organization of Petroleum Exporting Countries, will reduce output by 50,000 barrels a day from Oct. 1, and Nigeria will cut production by 120,000 barrels a day from the same date, OPEC spokesman Omar Farouk Ibrahim said today in an interview from Vienna. The cuts are ``voluntary,'' he said. Crude prices in New York have slid 20 percent since touching a record $78.40 a barrel on July 14 as fuel stockpiles climbed and the risk of the United Nations imposing sanctions on Iran eased. The reduction would represent less than 1 percent of OPEC's daily output last month, according to data compiled by Bloomberg. Oil pared some of its loss, then fell again, after news of the cuts. ``The number itself is not so much,'' Kenichiro Yamaguchi, chief operating officer for Petro Diamond Risk Management Ltd., a unit of Mitsubishi Corp., said by phone from London. OPEC wanted the market ``to see that there is concrete action.'' Venezuelan Energy and Oil Minister Rafael Ramirez said his country decided to cut output to stem a drop in prices that has shaved $8 a barrel this month from the price of the country's crude market basket. Ramirez said in a press statement that there is a surplus of at least 500,000 barrels a day in the market. Venezuela, the world's fifth-largest oil supplier, produced about 2.5 million barrels a day in August, according to Bloomberg data. The country's official quota is 3.2 million barrels a day. Nigeria also pumped less than its official limit of about 2.31 million barrels a day in the period. OPEC Talks ``Venezuela and Nigeria have already been producing less than their official quotas, the cuts don't make sense,'' said Tim Evans, an energy analyst at Citigroup Global Markets Inc. in New York. ``In any official OPEC action, they would be leaning on large producers such as Saudi Arabia to act as the swing producer, or emphasizing adherence to quotas by members such as Algeria.'' OPEC President Edmund Daukoru, who is also Nigeria's oil minister, is in talks with other member-countries about crude prices, which touched a six-month low on Sept. 25, Ibrahim said. Nigerian oil officials weren't immediately available to comment. bloomberg.com