| Kippreport.com

No need to alter OPEC policy in Oct-Gulf source

September 13, 2010 1:24 by Reuters

OPEC has no need to alter oil output policy at an upcoming meeting in October as prices are in an acceptable range, a Gulf industry source told Reuters on Monday.

“Cutting production is out of the question as prices are in the $70-75 range and don’t seem to be increasing,” said the source, adding any output increase was also unnecessary.

“What we can ask for is better compliance from countries.”

OPEC’s compliance with implied output curbs has sunk to just above 50 percent.

The Organization of the Petroleum Exporting Countries meets to reassess output policy in Vienna on Oct. 14.

It has had a quiet year in 2010, so far meeting only in March and making no change to its output policy, while oil has largely traded within a zone of $70 to $80 a barrel, which OPEC members have said is acceptable for producers and consumers.

(Reporting by Amena Bakr; Editing by Barbara Lewis)

Tags: Gulf industry, oil prices, OPEC policy, OPEC policy October