Saudi Arabia dug in its heels on Monday (25 June) in the face of strong pressure from OPEC (Organisation of Petroleum Exporting Countries) to raise the basic price of crude oil to twenty dollars a barrel.
GV: International Hotel, Geneva.
GV: jeeps and outriders guarding arrival of Iranian delegation
SV PAN AND CU: security precautions around hotel. (5 shots)
CU: Iraqi delegate arriving at hotel.
SV PAN: Ecuador delegate arriving
SCU PAN: Abu Dhabi delegate arrives
SV PAN: Indonesian delegates arriving.
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Background: Saudi Arabia dug in its heels on Monday (25 June) in the face of strong pressure from OPEC (Organisation of Petroleum Exporting Countries) to raise the basic price of crude oil to twenty dollars a barrel. In the chaotic oil markets since Iran's revolution borough about a world shortage of oil the average price of oil has risen to about this figure. But the official OPEC price is fourteen point five dollars a barrel and Saudi Arabia is the only country still selling oil at the price.
SYNOPSIS: The Intercontinental Hotel in Geneva, and on Monday (25 June) security was tight as delegates arrived. One of the first delegations was from iran. The Iranians are holding out for the full increase to twenty dollars. A rise to this level would mean a thirty-six per cent rise on the price fixed last April. Security precautions were extensive, Police were very much in evidence. Meetings of delegates from the World's top oil producing nations are seen as a prime target for kidnapping and other terrorist action and Swiss authorities were taking no chances.
The Iraqi Oil Minister Tayeh Abdul Karim was another early arrival. His government wants to higher unified price without surcharges imposed by individual exporters.
Saudi Arabia is likely to stick out for the lower figure and if no agreement is reached it seems certain that the chaos in the oil market will continue.