Business Briefs
OPEC President and Venezuelan Energy Minister Ali Rodriguez dismissed another increase in crude oil output in July, quelling speculation that a recent price spike could pressure exporters to crank out more oil. Mexico's Energy Minister Luis Tellez, meanwhile, said the Wednesday summit of the oil trio -- the three engineers of a March 1999 producers' pact to restrict output and lift sagging prices -- would not produce any firm action. South Korea's Hyundai Engineering & Construction has won a $510 million order to build a container terminal in Hong Kong. Hyundai said it had been awarded the deal by a group of Hong Kong companies, including Modern Terminals Ltd. Work is to begin on May 12 for completion by October 2004.
OPEC Output To Stay Steady
OPEC President and Venezuelan Energy Minister Ali Rodriguez dismissed another increase in crude oil output in July, quelling speculation that a recent price spike could pressure exporters to crank out more oil. Asked ahead of a Wednesday meeting with his fellow oil ministers from Saudi Arabia and non-OPEC Mexico if production would be raised in July, Rodriguez replied "no." Mexico's Energy Minister Luis Tellez, meanwhile, said the Wednesday summit of the oil trio -- the three engineers of a March 1999 producers' pact to restrict output and lift sagging prices -- would not produce any firm action.
Analysts Say Oil Stockpiles Could Vanish By Late Fall
Excess oil industry stockpiles are likely to disappear entirely in October or November as winter demand overwhelms supply constrained by OPEC export curbs, analysts said. Inventory statistics, always key to the international oil market, have assumed an even greater significance over the past week as OPEC officials singled out the indicator as the leading factor for judging when to ease supply limits. Now, even the most cautious of analysts expect OPEC's target of shrinking stockpiles to pre-1998 levels to be achieved before the end of the year - at least three months before an agreement on output cuts expires. "With no schedule for another quota review before March 2000…
Oil Prices Rally On Tight Supplies
Crude oil prices bolted higher early last week as traders returned from a long holiday weekend to indications that exporting countries may extend the supply cuts which have helped double petroleum prices this year. Crude oil for delivery in February closed 46 cents higher at $26.33 a barrel on the New York Mercantile Exchange, but still failed to lift shares of companies such as Exxon Mobil Corp. and Chevron Corp. in stock market trading. Indeed, the Standard & Poor's index of international oil companies dropped 30.77 points, or more than three percent, to 950.48, while the broader S&P 500 lost 1.24 points, or 0.09 percent, to 1,457.10. In a quiet U.S.
