US, Opec Beg to Differ on Current Oil Rally

Oil Daily, The, December, 2003

WASHINGTON -- Opec faced off with the world's largest oil consumer this week with both sides drawing different conclusions as to what is behind crude oil's relentless rise to its highest levels since the start of the Iraq war nine months ago.

Energy Secretary Spencer Abraham "informally" urged Opec ministers attending an liquefied natural gas (LNG) summit here this week to loosen their grip on production taps, Opec President Abdullah al-Attiyah said on Thursday.

Al-Attiyah said there was no fundamental reason for the fact that prices soared close to $34 per barrel on US futures markets this week. "We try to explain that these higher prices are not connected to a shortage of supply," said al- Attiyah. "Prices are being driven by geopolitics, speculators and...