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$70/barrel crude price optimum: Qatar Oil Minister

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Press Trust of India New Delhi
Last Updated : Jan 20 2013 | 7:17 PM IST

State oil cartel Opec's key producer Qatar today pitched for $70 per barrel price for crude oil to sustain investments in new projects that would meet future energy demand.

"I think $70 per barrel will give companies incentives to invest in new projects," Qatari Oil Minister Abdullah bin Hamad al-Attiyah told PTI in an interview.

Low oil prices, as currently prevailing at $40 per barrel, discourage investment in new projects and may lead to another "oil shock".

"I am against high oil prices and also do not appreciate low oil prices as it result in freeze on investment in new resources and when growth comes back we will have another shock as resources would not be enough to meet the demand," he said.

Qatar which currently produces 7,35,000 barrels per day and has a spare capacity of another 9,00,000 barrels per day, said oil prices over $100 is not logical.

Attiyah said oil producers should not smile when crude prices are at record high and consumers should not smile when prices are low because both are counter productive.

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First Published: Jan 14 2009 | 1:12 PM IST

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