Well done OPEC

Yes, the Organization of Petroleum Exporting Countries (OPEC) needs such appraisal for their successful conclusion in short time in keeping their previous production quota unchanged. OPEC agreed to keep its production at 30 million barrels per day, leaving the production for each of its member an unfixed number and leaving them free to produce as they wish. Iraq and Libya were left out of the production zone and free to produce to compensate for lost volumes.

Its decision was reached in short time despite the pressure that was excreted on them by the decline of oil prices. Oil prices were declining before OPEC's meeting and it was clear signal to take drastic action to stop the decline. This didn't happen and the organization reached an excellent result that will be appreciated globally, perhaps not in their own home countries, but for sure outside their home lands.

Before the start of their meeting in Vienna, last week everybody was expecting disagreements and internal fight between Iran and the Arab Gulf states over production. Iran was accusing every body of over production except itself, realizing very well that it couldn't sell its crude volume due to international boycott. As otherwise it was going to continue to overproduce enjoying the $100 plus price of crude oil. Now this is becoming impossible, Iran began to accuse us, Saudi Arabia and the Emirates for spoiling oil prices and forcing it to be sold at below $100 a barrel.

The meeting however ended up with full agreement on keeping the output as per last meeting of December 2011. The meeting didn't last long and the organization came up stronger than ever and every minister left Vienna happy.

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