Minister of Oil and Gas in the Government of National Unity, Mohamed Aoun stated on the official Facebook page of the Ministry regarding the implementation of the “NOPEC” bill proposed to the US Congress, and that he is very concerned about the outcome of an irrational reaction due to oil price hikes, which are not necessarily caused by producing countries or members of OPEC.
Aoun explained that analysis proved that the reasons for reduced investments or fear of a continued decline in production, as happened in 2007 when crude oil prices jumped to more than $140 per barrel, is due to a lack of spare production capacities resulting from not investing in production programs in producing countries and some OPEC organizations.
Aoun added that in his belief, if the OPEC law takes the executive form, chaos and dispersion will occur in oil production, investment, and consumption globally, and as a result, the oil industry will face problems that will disrupt stability and steadiness in oil markets and lead it to the unknown.
Aoun confirmed that OPEC and OPEC+ have been able to maintain the balance between supply and demand since 2016, and this organization was established in 1960 to try to balance the market between producers, consumers, and investors.
Aoun explained that oil prices were satisfactory for everyone, as evidenced by the performance of the oil and gas industry and its relationship with the global economy, and that stable oil prices are good for all parties and preserve the oil industry in all its forms, including traditional, heavy, and gas.
Finally, Aoun concluded his statement by saying that OPEC and OPEC+ do not aspire to monopolize in any form, and that there are many organizations, including the World Trade Organization, and all are a convergence of the interests of several countries, whether they are consumers, investors, or producers.