Can OPEC be broken up

Journal Article · Tue Feb 15 04:00:00 EST 1977 · Forbes; (United States)

OSTI ID:7121293

Cook, J

Discussions with Arnold E. Safer of the Irving Trust Co. and Theodore H. Moran of Johns Hopkins University regarding recent strains in the Organization of Petroleum Exporting Countries (OPEC) structure are reviewed; they are cautious about predicting any advantage from this development for oil importers. Development of non-OPEC oil fields will make it difficult for OPEC nations to maintain their production in spite of higher demand levels. Members of OPEC will continue to need revenues to finance their development programs. Saudi Arabia's refusal to cut back on production is seen by Safer as a portent of eroding OPEC power. Moran feels OPEC will set quotas for production and raise prices, which could backfire by lowering demand. Both agree the U.S. could try to exploit OPEC's weakness by asking for sealed bids and by setting up an oil exchange with the marginal supply setting the market. (DCK)

• OSTI ID: 7121293
• Journal Information: Forbes; (United States), Journal Name: Forbes; (United States) Vol. 119:4; ISSN FORBA
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020700 -- Petroleum-- Economics
Industrial
& Business Aspects
021000 -- Petroleum-- Legislation & Regulations
29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
294003* -- Energy Planning & Policy-- Natural Gas
AGREEMENTS
CHARGES
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FORECASTING
FOSSIL FUELS
FUELS
GOVERNMENT POLICIES
INTERNATIONAL AGREEMENTS
INTERNATIONAL COOPERATION
INTERNATIONAL ORGANIZATIONS
MARKET
OPEC
PETROLEUM
PRODUCTION
PROFITS
TRADE