OPEC Presentation
Overview of OPEC
Is a permanent, intergovernmental Organization, created at the Baghdad Conference on
September, 1960.
Founder Members:
Later joined Members
•Iran
•Iraq
•Kuwait
•Saudi Arabia
•Venezuela
•Qatar (1961)
•Indonesia (1962) – suspended membership 01/2009
•Libya (1962)
•United Arab Emirates (1967)
•Algeria (1969)
•Nigeria (1971)
•Ecuador (1973) – suspended membership 1992-2007
•Angola (2007)
•Gabon (1975–1994)
Objectives of Opec
• OPEC's objective is to co-ordinate and unify petroleum policies among
Member Countries in order to secure fair and stable prices for petroleum producers; an efficient, economic and regular supply of petroleum to consuming nations; and a fair return on capital to those investing in the industry. • OPEC was formed at a time when the international oil market was largely dominated by multinational companies (the 'seven sisters‘). OPEC's ‘Policy
Statement' states that there is a right of all countries to exercise sovereignty over their natural resources.
• Because OPEC is an organization of countries (not oil companies), individual members have sovereign immunity for their actions, meaning that
OPEC is not regarded as being subject to competition law in the normal way.
OPEC: Top 10 Ranking of production of members
1. Saudi Arabia - 9.311 million barrels/day.
2. Iran - 3.576 mb/d.
3. Venezuela - 2.881 mb/d.
4. Kuwait - 2.659 mb/d.
5. Iraq - 2.653 mb/d.
6. UAE - 2.565 mb/d.
7. Nigeria - 1.975 mb/d.
8. Angola - 1.618 mb/d.
9. Algeria - 1.162 mb/d.
10. Qatar - .734 mb/d.
Background History
After World War II the Anglo-Saxon companies largely controlled the Middle East’s oil production. In 1951 Iran nationalized its oil industry, Anglo-Iranian Oil Company
(now BP), this case Iranian oil was subjected to an international embargo.
In an “effort” to bring Iranian oil production back to international markets, the U.S.
State Department suggested the creation of a "Consortium" of major oil companies. The "Consortium for Iran was
Is a permanent, intergovernmental Organization, created at the Baghdad Conference on
September, 1960.
Founder Members:
Later joined Members
•Iran
•Iraq
•Kuwait
•Saudi Arabia
•Venezuela
•Qatar (1961)
•Indonesia (1962) – suspended membership 01/2009
•Libya (1962)
•United Arab Emirates (1967)
•Algeria (1969)
•Nigeria (1971)
•Ecuador (1973) – suspended membership 1992-2007
•Angola (2007)
•Gabon (1975–1994)
Objectives of Opec
• OPEC's objective is to co-ordinate and unify petroleum policies among
Member Countries in order to secure fair and stable prices for petroleum producers; an efficient, economic and regular supply of petroleum to consuming nations; and a fair return on capital to those investing in the industry. • OPEC was formed at a time when the international oil market was largely dominated by multinational companies (the 'seven sisters‘). OPEC's ‘Policy
Statement' states that there is a right of all countries to exercise sovereignty over their natural resources.
• Because OPEC is an organization of countries (not oil companies), individual members have sovereign immunity for their actions, meaning that
OPEC is not regarded as being subject to competition law in the normal way.
OPEC: Top 10 Ranking of production of members
1. Saudi Arabia - 9.311 million barrels/day.
2. Iran - 3.576 mb/d.
3. Venezuela - 2.881 mb/d.
4. Kuwait - 2.659 mb/d.
5. Iraq - 2.653 mb/d.
6. UAE - 2.565 mb/d.
7. Nigeria - 1.975 mb/d.
8. Angola - 1.618 mb/d.
9. Algeria - 1.162 mb/d.
10. Qatar - .734 mb/d.
Background History
After World War II the Anglo-Saxon companies largely controlled the Middle East’s oil production. In 1951 Iran nationalized its oil industry, Anglo-Iranian Oil Company
(now BP), this case Iranian oil was subjected to an international embargo.
In an “effort” to bring Iranian oil production back to international markets, the U.S.
State Department suggested the creation of a "Consortium" of major oil companies. The "Consortium for Iran was