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    OPEC to Fail to Limit Oil Output in Vienna - US Energy Association Chief

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    The Organization of the Petroleum Exporting Countries (OPEC) will not reach an agreement to freeze oil production at their upcoming ministerial meeting in the Austrian capital of Vienna, US Energy Association Executive Director Barry Worthington told Sputnik.

    WASHINGTON (Sputnik) – Worthington said on Wednesday he "do[es] not think any agreements will be reached to limit [oil] production" during the upcoming meeting. He also predicted that the summit will have little impact on US energy markets including crude and natural gas LNG exports.

    "The [OPEC] meeting will have little impact on US markets," Worthington said on Wednesday. "Short term, our exports will continue to grow both for crude [oil] and refined markets. And natural gas LNG exports will continue to grow."

    On Thursday, OPEC members will convene in Vienna to discuss a plan to freeze oil production, two months after the previous attempt failed amid Saudi Arabia’s reversal.

    Worthington noted that the oil market overall is responding to supply constraints rather than growth in demand.

    "Fires in the Canadian oil sands, political disruption in Venezuela and continued issues in the Mideast are market influencers right now," Worthington explained.

    Oil prices have plunged more than 60 percent from their peak of over $110 a barrel in June 2014 because of global oil production outpacing global demand. Since the 12-year low registered in January, oil prices have rebounded more than 75 percent.

    In April, OPEC and major non-OPEC oil producers failed to agree on freezing oil output at January levels to shore up prices after Saudi Arabia backed out of the deal, insisting that Iran, which has been boosting oil production after years of international sanctions, should be part of any production cuts.

    Related:

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    OPEC Likely to Leave Oil Output Unchanged
    Tags:
    summit, oil output, OPEC, Austria, Vienna
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