Indonesia: No need to freeze output if crude remains at $45
According to media reports, Indonesia’s governor to the Organization of Petroleum Exporting Countries (OPEC) stated that as long as oil prices remain around the $45/barrel level, there would be no urgency to freeze output.
The Doha meeting between OPEC and non-OPEC producers ended without a consensus on freezing output at January levels. Nonetheless, crude prices have gradually risen since mid-January, when crude hit a 12 year low.
According to media reports, Indonesia needs an oil price of around $50/barrel in order to maintain its oil and gas industry. The country’s OPEC governor said, “It would probably be more appropriate if OPEC and non-OPEC producers reach an agreement along with efforts to boost the global economy.”