Reuters: Oil's rise to a record over $139 a barrel last week had nothing to do with a supply shortage, Iran's OPEC Governor Mohammad Ali Khatibi said on Monday.
DUBAI (Reuters) – Oil's rise to a record over $139 a barrel last week had nothing to do with a supply shortage, Iran's OPEC Governor Mohammad Ali Khatibi said on Monday.
International political tension, a weak U.S. dollar and speculation are causing swings in the oil price, Khatibi told Reuters by telephone.
"The problems in the market are not due to a lack of OPEC supply," Khatibi said. "There is no shortage — supply is more than demand. We have not only responded to demand but are also sending some oil into stocks. What else can OPEC do? OPEC is doing everything it can."
There was no reason for OPEC to hold a meeting before its next scheduled gathering in September as there was nothing to talk about, he said.
"What can we talk about?" he said. "Activity of players in the paper market? Can we do anything about weakness in the dollar? It's better to wait until September."
Khatibi reiterated that Iran would export at least 2.5 million barrels per day (bpd) of oil in June.
(Reporting by Simon Webb)