OPEC chief sees oil price at 70-75 dollars by year-end

OPEC secretary general Abdalla Salem El-Badri
said Friday he expected oil prices to rise to 70-75 dollars per barrel by the end of this year.

“If this current trend continues, if recovery as we see it coming (materialises), we see a range of 70-75 dollars by year-end,” the oil cartel chief told reporters here.
Oil prices rose in Asian trade Friday to above six-month highs on an unexpectedly big drop in US crude reserves.
New York’s main contract, light sweet crude for July delivery, gained 31 cents to 65.39 dollars a barrel.
Brent North Sea crude for July delivery was 23 cents higher at 64.62 dollars.
Crude prices have surged in recent days due to growing optimism that energy demand would pick up on hopes the US economy is on the mend.
Organization of Petroleum Exporting Countries had decided to leave output unchanged, despite a glut of crude worldwide.
“That was an excellent decision. I am very happy with it,” El-Badri said.
He was “optimistic” about the prospects of recovery, he said.
“There’s some light at the end of the tunnel, but it’s still a very weak light. We have to see demand change before we take any action.”
OPEC had come to an end of its cycle of output cuts, El-Badri remained evasive.
“I can’t say we’ve finished. We have to wait and see the situation on the market” at the time of the cartel’s next meeting in September in Vienna, he said.
OPEC to actually start increasing production, he said.
OPEC will take action to remedy that,” El-Badri said.
OPEC ‘s point of view.”Let’s reach that price and then we’ll talk about it,” he said.