OPEC forecasts further growth of prices on oil in the world

/PRIME-TASS, 11.08.99/ - Organization of petroleum exporting countries (OPEC) forecasts further growth of the world prices on oil, although the organization increased supply of oil into the world market by 270 thousand barrels per day in July - up to 26.24 million barrels, informs ITAR-TASS. However, as the published report of OPEC experts state, this growth of oil export is due to increased export from Iraq, who despite of his membership in OPEC, in the world oil market plays by the rules specified by the UN agreement "oil for food". In July Iraqis increased supply of this raw material abroad on average by 300 thousand barrels per day and sold 2.2 - 2.4 million barrels daily since then. On the contrary, other members of OPEC reduced their oil exports by 40 thousand barrels per day in July. Their observance of the arrangements on the export quotas has resulted in increase of the world prices on oil; at London exchange they have already reached $20.5 for a barrel on futures for September. The experts assert that the present world price for oil is not a limit and in the threshold winter demand for oil will sharply increase. The second factor, capable of rendering pressure on the price, the experts believe is "the psychology of the participants of the oil market". Despite of the assertions of the oil companies and the banks that they will manage to solve so-called "year 2000 computer problem", the exchange market dealers are afraid of malfunctioning of oil delivery mechanisms. Therefore, they have already begun to increase the demand for this product.