Nigerian supply cut unilateral

LONDON – Opec producer Nigeria’s move to cut supplies to shore up oil prices appears to be unilateral and there is no agreement within Opec to curb supplies, an Opec spokesman said on Friday.

Oil’s rapid descent to US$62 from a mid-July peak of US$78,40 has sparked concern in the 11-member producer group and prompted Opec President Edmund Daukoru – who is also Nigeria’s Minister of State for Petroleum – to hold talks with other ministers. “Nigeria has said clearly it is cutting by five per cent, but it appears this is a unilateral act,” the spokesman said from Opec’s headquarters in Vienna.”There is definitely no agreement – whether formal or informal – within OPEC to cut current production.”Opec’s acting Secretary-General Mohammed Barkindo told Reuters on Thursday that other members of Opec – particularly producers of heavier crudes – had joined Nigeria in reducing supplies.But the Opec spokesman said it remained to be seen whether other producers in the Organisation of the Petroleum Exporting Countries would make voluntary supply cuts.”I haven’t seen anything like that yet,” the spokesman said.Nampa-Reuters”Nigeria has said clearly it is cutting by five per cent, but it appears this is a unilateral act,” the spokesman said from Opec’s headquarters in Vienna.”There is definitely no agreement – whether formal or informal – within OPEC to cut current production.”Opec’s acting Secretary-General Mohammed Barkindo told Reuters on Thursday that other members of Opec – particularly producers of heavier crudes – had joined Nigeria in reducing supplies.But the Opec spokesman said it remained to be seen whether other producers in the Organisation of the Petroleum Exporting Countries would make voluntary supply cuts.”I haven’t seen anything like that yet,” the spokesman said.Nampa-Reuters