CARACAS - Venezuelan oil minister Rafael Ramirez urged OPEC on Sunday to agree to reduce supply by 1 million barrels per day at an emergency meeting in Cairo Nov. 29 and make the cut take effect before the end of the year.
The cut would be aimed at shoring up prices by creating a better balance between supply and demand on oil markets, which Ramirez said are currently oversupplied by at least 1 million barrels per day.
"We are monitoring with concern the situation of the price of oil," Ramirez told reporters after voting in the country's elections for governors and mayors. "We believe there should be an additional cut of one million barrels per day."
Venezuela, a major supplier to the United States, is a price hawk in OPEC. Oil prices have fallen about $100 a barrel since July, slashing Venezuela's income from its main export.
But President Hugo Chavez on Sunday assured Venezuela could be fine with prices near current levels.
"Even if oil prices remain at fifty dollars (per barrel) or even less, the Venezuelan economy will continue marching on," Chavez said during a televised speech after voting.
Venezuela's oil generally trades for about $10 less than U.S. light oil.
Despite the low prices foreign companies remain interested in developing Venezuela's reserves.
Twenty-one foreign companies this month bought $2 million data packs to prepare possible bids to develop fields in the vast Orinoco heavy crude oil belt, Ramirez said.
He said Venezuela is considering including additional Orinoco areas in the bid because of strong investor interest in the projects.
Many oil companies consider Venezuela a high-risk country because of frequent changes to fiscal terms and conditions.
Chavez last year nationalized multibillion dollar Orinoco operations, leading oil giants Exxon Mobil and ConocoPhillips to leave the country and sue for compensation.
A continued slump in oil prices could make Venezuela's offer less attractive, analysts say.
The cut would be aimed at shoring up prices by creating a better balance between supply and demand on oil markets, which Ramirez said are currently oversupplied by at least 1 million barrels per day.
"We are monitoring with concern the situation of the price of oil," Ramirez told reporters after voting in the country's elections for governors and mayors. "We believe there should be an additional cut of one million barrels per day."
Venezuela, a major supplier to the United States, is a price hawk in OPEC. Oil prices have fallen about $100 a barrel since July, slashing Venezuela's income from its main export.
But President Hugo Chavez on Sunday assured Venezuela could be fine with prices near current levels.
"Even if oil prices remain at fifty dollars (per barrel) or even less, the Venezuelan economy will continue marching on," Chavez said during a televised speech after voting.
Venezuela's oil generally trades for about $10 less than U.S. light oil.
Despite the low prices foreign companies remain interested in developing Venezuela's reserves.
Twenty-one foreign companies this month bought $2 million data packs to prepare possible bids to develop fields in the vast Orinoco heavy crude oil belt, Ramirez said.
He said Venezuela is considering including additional Orinoco areas in the bid because of strong investor interest in the projects.
Many oil companies consider Venezuela a high-risk country because of frequent changes to fiscal terms and conditions.
Chavez last year nationalized multibillion dollar Orinoco operations, leading oil giants Exxon Mobil and ConocoPhillips to leave the country and sue for compensation.
A continued slump in oil prices could make Venezuela's offer less attractive, analysts say.
