Kuwaiti Energy Minister Sheikh Ahmad al-Fahad al-Ahmad al-Sabah, the new president of OPEC, said on Wednesday, that OPEC producers will encounter some difficulties in the second quarter of 2005 due to a global oil oversupply.
He said, "When the need arises to reduce production during the second quarter, OPEC will hold an emergency meeting to discuss the issue." He stated that there is an extra oil supply of 500,000 barrels to 1 million barrels per day on the global market.
OPEC is to discuss oil prices in Sunday's meeting in Vienna, said Sheikh Ahmad, adding "we must be cautious so as to stabilize prices and show the world that OPEC plays a role that reflects on prices and reacts to price hikes."
OPEC's policies and its interaction with market requirements will be discussed on the Davos forum, he added.
The forum is to be held in Davos between Jan. 26 and 30 with the participation of 20 world leaders, 70 ministers and 1,000 businessmen.
