Oran, Algeria–Algerian Energy Minister Chakib Khelil said on Saturday he believed OPEC could do nothing at this stage to restrain rising oil prices, despite concerns the high cost of energy could hurt the economic recovery.
“I do not see really what OPEC can do to have any impact on the prices at this stage because the increase in prices is not led by the lack of supply, but it is really led by the economic recovery,” Khelil told a news conference.
“We have ample supply. The stocks are very high,” he said in the Algerian city of Oran, which on Monday is hosting a meeting of some of the world’s biggest gas exporters.
Oil prices have nearly tripled from the lows near US$30 a barrel seen at the end of 2008 to around US$85 per barrel as investors eye signs of an economic recovery.
The International Energy Agency, which advises industrialized economies, warned on Friday that oil prices at US$85 could endanger the fragile recovery by feeding into higher energy costs for businesses and consumers.
The Organization of the Petroleum Exporting Countries could in theory increase output quotas to try to cool prices but members have shown no sign of wanting to do that.
Venezuela’s oil minister said this week he saw no need for an increase in output unless there was a robust strengthening of demand, and Kuwait’s oil minister said OPEC would only consider raising output if oil went above US$100 per barrel.
