OPEC set to reduce oil production

LONDON — Oil-producing nations are set to reduce output when OPEC ministers meet in Vienna next week.

Officials said that the 11-member organization is united on the need to reduce output in an attempt to raise prices. Members want the price of a barrel of crude oil to be no lower than $25.

The price of oil is about $23 a barrel. OPEC is scheduled to meet on Jan. 17 in a meeting to be chaired by Algeria.

"It is sure that the Jan. 17 conference will decide a reduction of OPEC production," Algerian Energy Minister Chakib said. "OPEC's objectives for this year are a stabilization of the market around $25 per barrel, and maintaining a consensus among the different OPEC members and other producers which are observers such as Norway, Russia, Mexico, Oman, and Angola."

OPEC officials said the reduction in oil output could reach three million barrels per day.

Iraq wants a cut of at least two million barrels per day. Iraq currently produces three million barrels per day and plans to increase output.

"We hope that OPEC will cut production at its upcoming meeting by at least between 1.5 and two million barrels per day to ensure a calm market," Iraqi Oil Minister Amer Rashid said. "We urge OPEC countries to maintain unity and rebuff any foreign interference that could affect prices and harm the economies of oil-producing countries, especially those in OPEC."

Iran also wants a cut of at least 1.5 million barrels per day.