Iran supports Venezuela in efforts to prop up oil prices

February 6, 2016

TEHRAN - Iran supports Venezuela’s efforts to stabilize the oil market and reverse the downward trend in oil price, said Iranian Oil Minister Bijan Namdar Zanganeh after his meeting with Venezuela’s Oil Minister Eulogio Del Pino Diaz.

The two officials met in Tehran on February 3 to discuss possible join efforts aimed at the global oil market stabilization, according to the Shana news agency. 

During the meeting, Iran agreed to take part in an emergency meeting among oil producing countries to help stop falling oil prices, if talks are scheduled.

According to Zanganeh, apart from possible collaboration among the member states and non-members of the Petroleum Exporting Countries (OPEC), the two sides talked over Tehran-Caracas relations in post-sanctions era.

Meanwhile, Del Pino said six member states of OPEC and two non-members have agreed to attend an extraordinary meeting if one is called, referring to Iran, Russia, Jordan and Iraq as among them.

Following his visit to Iran, the Venezuelan minister traveled to Qatar and Saudi Arabia to further discuss controlling oil price slump.

Del Pino has been meeting energy officials from Russia and OPEC as he tries to rally support for production cuts to stem the oil price collapse. 

Venezuela has led calls for an emergency meeting of ministers from OPEC and non-OPEC producer countries to prop up oil prices, despite the reluctance of some members.

The oil price dropped below $30 a barrel to levels not seen in more than a decade earlier this month. 

Oil has slumped more than 50 percent since Saudi Arabia led OPEC’s decision in November 2014 to maintain output and defend market share against higher-cost U.S. shale producers. The resilience of the shale sector and increase in Russian production to post-Soviet highs helped expand the global glut.