WTI oil trading firm at $91, Iran says $100 not unrealistic

17 January 2011 17 January 2011

BonTrade

WTI oil prices open Monday’s trading session firm over $91 a barrel as the latest comments from Iran’s Oil Minister suggest that Iran and other OPEC member countries expect oil prices to move over $100 a barrel later this year.

Latest WTI Oil Price

US Light crude oil futures for February 2011 delivery was trading at $91.27 a barrel, 07.30 GMT this morning on the NYMEX.

$100 Not Unrealistic, No Emergency OPEC Meetings

Oil prices crossing the $100 a barrel mark is possible but would not merit an emergency meeting of OPEC, Iran’s Oil Minister Masoud Mirkazemi who currently heads the cartel said on Sunday.

“The price of $100 is not unrealistic in this situation. Even if the oil price crosses $100 a barrel there is no need for an emergency OPEC meeting. Some OPEC members believe there is no need for an emergency meeting even if oil reaches $110 or $120 a barrel.” Mirkazemi told reporters.

At its last meeting at Quito, OPEC member countries decided to leave oil output quotas unchanged, stressing the looming risks to the fragile global economic recovery.

Some OPEC members including Iran, Venezuela and Libya were urging higher oil prices at Quito to above $100 a barrel to offset what they said were rising oil production costs.

The next scheduled meeting for OPEC to discuss oil output levels is in June.