The Organization of the countries-manufacturers and exporters of oil decided not to cut production in response to lower prices helped to limit the supply growth, said UAE energy Minister Suhail al mazrouei. This change gave the possibility to market yourself to find balance, he said.
DUBAI, 12 Jan. Anna Chernova-Kalichuk. UAE energy Minister Suhail al mazrouei stated that the strategy of OPEC in the world oil market is justified and will ultimately lead to increased demand and oil prices, reported on Tuesday a UAE newspaper the National.
According to statements of the Minister on an oil forum in Abu Dhabi, the demand for oil in 2015 rose more than expected. Its increase amounted to 1.5 million barrels per day compared to forecasts of 1.2 — 1.25 million barrels per day.
“This means that when oil prices are lower, demand higher,” said al-mazrouei.
At the same time, the actions of the Organization of countries-producers and exporters of oil (OPEC), which decided not to cut production in response to lower prices helped to limit the growth of supply, the Minister said.
“It is a fundamental change — to allow the market alone to find balance. If we artificially do something, I don’t think it will be stable”, — he noted.
According to al mazroui, the market fundamentals indicate that the increase in the price of oil will begin before the end of 2016.
