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To: marc chatman who wrote (24643)	6/24/1998 10:27:00 AM
From: pz	Read Replies (1) \| Respond to of 95453

Oil -.18 Must just be a rumor. Paul

To: marc chatman who wrote (24643)	6/24/1998 10:28:00 AM
From: Redman	Read Replies (1) \| Respond to of 95453

This was on the DBC tape at 8:30 central time. green 09:33 OPEC AGREES TO RAISE COMBINED OUTPUT CUTS TO 2.625 MLN BARRELS/DAY- REUTERS.

To: marc chatman who wrote (24643)	6/24/1998 10:31:00 AM
From: diana g	Respond to of 95453

Wednesday June 24 10:17 AM EDT OPEC Agrees To Cut Oil Production DIRK BEVERIDGE AP Business Writer VIENNA, Austria (AP) - OPEC reached an agreement today to cut more barrels of oil from the glutted market, Saudi Arabia's oil minister said. Saudi minister Ali Naimi made the comments after the producers held critical talks about boosting severely depressed prices. The cuts will probably be in the range of 1 million to 1.2 million barrels a day - just what some of the OPEC ministers had been shooting for - a Gulf source said on condition of anonymity. Oil futures were modestly higher in London even though OPEC gave out no immediate confirmation of how sharply it plans to slash crude output. The new cutbacks will be effective July 1. The Saudi minister, Ali Naimi, told reporters he was ''very happy'' with the deal, which OPEC hopes will rescue prices that recently plunged to 12-year lows. Naimi said details would be announced later in the day. Some ministers said previously that OPEC needed to cut at least 1 million barrels a day. The producers struck a deal in an informal session involving delegations from all 11 OPEC countries. But immediately after it was over, oil ministers were tight-lipped about what they had done. ''It's going very well - I have no other comments,'' Libyan oil minister Abdalla Salem el-Badri told reporters as he emerged from the talks held in a Vienna hotel. El-Badri had previously said that anything less than 1 million barrels a day in new production cuts ''will not be enough.'' OPEC has not yet formally begun its summer meeting but apparently has come to a agreement on the main issue: withdrawing supply from the market. Prices have risen about $1 per barrel this week on anticipation of big cutbacks, but one prominent OPEC delegate told reporters early Wednesday that the producers want an increase of at least $4 per barrel. Futures prices moved even higher by midafternoon in London, where Brent crude oil for delivery in August was up by 32 cents at $14.24 per barrel on the International Petroleum Exchange. That added to gains of about $1 per barrel that have come this week after OPEC ministers started talking up the idea of bigger production cuts. Going into today's session, six of the 11 OPEC members had pledged to cut a total of 620,000 barrels daily from the market - and they appear to have roughly doubled that promise. Non-OPEC producers Mexico, Russia, Egypt and Oman had also promised to cut another 203,000 barrels. Crude oil is the world's most vital commodity and the recent cheap prices have been a bargain for consumers but a nightmare for OPEC and other producers. OPEC found itself in a mess this winter after boosting output just as the Asian economic crisis started eroding the growth in world oil demand. The oil ministers held an emergency meeting in March, agreeing to cut 1.245 million barrels of daily production. They delivered most, but not all, of those cuts and prices plunged further, leading to the latest effort to restrain production further. But even as futures prices were rising, some analysts cautioned that OPEC still needs to deliver more than words. The once-powerful group has in recent years shown a marked inability to stick by its production agreements. ''It's a question of 'How much and will they deliver?''' said Leo Drollas, chief economist at the London-based Center for Global Energy Studies. Members of the Organization of the Petroleum Exporting Countries are Algeria, Indonesia, Iran, Iraq, Kuwait, Libya, Nigeria, Qatar, Saudi Arabia, the United Arab Emirates and Venezuela.