Oil Prices Unlikely to Drop Lower than $100 says Iranian Oil Minister

Rostam Qasemi, the oil minister of Iran, said that the crude price per barrel will not likely fall lower than $100 and that the falling trend has ended.

On a recently held oil and gas show in Tehran, the oil minister told reporters that current oil prices are not expected to drop lower than $100 per barrel. Qasemi added that having oil prices lower than $100 a barrel is not a sound and fair price.

Furthermore, the oil minister said that the Organization of Petroleum Exporting Countries (OPEC) would call an emergency meeting in the event prices drop lower than $100 (for a sustained period).

In the meantime, Ali Reza Nikzad Rahbar, the spokesman of Iran’s Oil Ministry, said that the country is in favor of oil prices within the range of $100 to $120 per barrel.

He added that Iran has a strategic supply of crude oil and, on top of controlling the price, the country is able to manage the world market for this commodity.

The spokesman said that Iran can make 4.2 million barrels of crude oil each day, highlighting that the current output of the country is sufficient to meet the demand of the world market.

OPEC is prepared to have a ministerial convention in Vienna on the 31st of May. The oil futures prices of Brent have dropped lower than $100 per barrel, a first since July of 2012.