Tuesday, May 11, 2010

OPEC To Call Emergency Mtg At $60 Oil-Libya Oil Head


DOHA (Zawya Dow Jones)--The Organization of Petroleum Exporting Countries would call for an emergency meeting if crude oil prices drop as low as $60 a barrel, Libya's top oil official said Tuesday.

"At $60 a barrel we would have to call an emergency meeting and at $100 a barrel we would take action," Shokri Ghanem, chairman of Libya's National Oil Co. told Zawya Dow Jones.

Ghanem added that oil prices remain volatile and would have to settle around the $60 or $100 a barrel mark to justify any action from the oil producing group.

"We don't think it will go to $60--the volatility is causing prices to go up and down erratically," he said. "Now that the crisis is resolving we are not worried but we are always concerned about the erratic movements in the market."

Crude fell Tuesday in Asia as the euro weakened against the U.S. dollar after a nearly $1 trillion rescue package for the euro-zone economies that boosted oil Monday failed to lift prices.

On the New York Mercantile Exchange, light, sweet crude futures for delivery in June were down 51 cents at $76.29 a barrel at 0759 GMT.

Crude prices fell sharply by about $11 a barrel over four days last week to a three-month-low as concerns increased over euro-zone sovereign debt, the pace of U.S. economic recovery and a build up in stockpiles.

-By Tahani Karrar-Lewsley, Dow Jones Newswires; +9714 446-1692; Tahani.Karrar@dowjones.com

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