OPEC
The head of the Organization of the Petroleum Exporting Countries (OPEC), Bruno Jean-Richard Eto’o, said at an energy conference in Riyadh that there is no “immediate solution” to the rise in oil prices.
Itwa added that the ability of oil-producing countries to increase the supply of crude was dwindling due to the lack of investment in the sector.
The statements of the OPEC President coincide with the approach of crude oil prices to the level of 100 dollars per barrel, with the increase in global demand in conjunction with the recovery of the global economy, and the corresponding shortage of supply.
Oil prices jumped to a seven-year high this month amid escalating tensions between Russia and Ukraine, and there was no sign of prices falling following Russia withdrew some of its forces from the border.
The Organization of the Petroleum Exporting Countries and its allies, led by Russia, which is known as OPEC+ and produces more than 40% of global oil supply, are facing calls from the United States, India and others to pump more oil as global economies recover from the followingmath of the pandemic.
But OPEC + agreed to stick to the target rate by pumping monthly increases of 400,000 barrels per day, and blamed the high prices on the failure of consuming countries to secure sufficient investments in fossil fuels as they switched to less polluting energy.
There is a set of technical complications associated with increasing oil production, especially with many OPEC members facing difficulties in meeting even monthly production targets, and the lack of spare capacity to increase production.