Oil prices expected to fall next year, Khelil says

The president of Opec Chakib Khelil is expecting oil prices to slump starting from the second quarter of next year as demand is shrinking and production is increasing mainly in the USA and Brazil.

  Khelil who is also Algeria oil minister told reporters today in Tipaza, Algeria “demand has decreased and speculation weakened in the international market which will lead to a price fall in the second quarter of next year”, Khelil said.The Organization of Petroleum Exporting Countries Opec is due meet in Oran, Algeria Next December 17th to discuss the new situation and take the “appropriate” measures, added Khelil. He did not specify if there is a tendency within the organization to cut out put. Opec controls 40 percent of international oil and gas production.