Russia Ready to Cut Production, Oil Price jump

New York, THURSDAY - The price of crude oil jump more than 10 percent on Thursday (11/12) local time after Russia says ready to participate with the OPEC cut oil production.Traders ignore the decline in the projection of global oil demand in the first 25 years of this. They anticipate more joint efforts by Russia and OPEC cut production in an effort to encourage increased oil prices.

Light sweet crude oil for January delivery closed at 47.98 U.S. dollars per barrel on the New York Mercantile Exchange, up 4.46 U.S. dollars or 10.25 percent, from Wednesday closing.In London, Brent crude North Sea for the delivery of the January jump 4.99 dollars or 11.77 percent to 47.39 U.S. dollars per barrel in the InterContinental Exchange.

After the reference New York contract closed at the lowest position in the last four years, 40.50 U.S. dollars, and on Friday, the market has increased its focus on the OPEC meeting next week in Oran, Algeria. Russia is ready to join with OPEC to keep crude oil prices fall and will become part of the oil cartel if interested in becoming members of Moscow, said Russian President Dmitry Medvedev, on Thursday.

"Co-our partners, colleagues from the club of oil (OPEC), requesting that we have a coordinated policy and anyone I meet, they immediately ask for an active," he said in a television information in the government. "I will say that we are ready to protect our revenue base, oil and gas," said Medvedev. "Actions perlindungaan can be associated with a decrease in the volume of oil production, joined the organization suppliers who have been there, including a role in the new organization, if we can agree on this," he said.

Russian non-OPEC members, but ranked equal with Saudi Arabia, de facto cartel leaders, as the world's largest oil exporter. Russian President jelang commenting 13 members of OPEC meeting on December 17 that will coordinate with non-OPEC countries, such as Russia, which is estimated will be a major issue.OPEC is estimated to cut production again in an effort to encourage the increase of prices that have fallen from record tertingginya above 147 U.S. dollars per barrel in July.

OPEC, which produces 40 percent of world crude oil has been called the producer countries of non-OPEC oil to play a role in reducing production to keep a sharp decline in crude oil prices in the last five months.John Kilduff of Alaron Trading record oil prices also received support from the statement of Saudi Arabian Oil Minister Ali al-Naimi said that, they pump 8.49 million barrel per day (BPH) in November, less than the estimations, and in line with the OPEC target.Meanwhile, the International Energy Agency (IEA) project global oil demand will fall this year for the first time in a quarter century because pelambatan economy in the world.

"Demand for oil is now estimated to global contraction in 2008 for the first time since 1983, has 0.2 million DSL, with the total (daily demand) this year revised down 350,000 to be 85.8 million DSL BPH," said the IEA report in the latest oil market .
In 2009 demand will grow again to be revised down 86.3 million DSL, said the IEA, estimates are based on the International Monetary Fund (IMF), which project the global economy starts to improve next year.IEA, based in Paris the previous estimate, global oil demand this year and next year respectively 86.2 million and 86.5 million DSL DSL