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| [00:06.87]OPEC,the Organization of Petroleum Exporting Countries agreed [00:13.30]this week to increase oil production. [00:17.42]The increase is aimed at lowering oil prices, [00:22.15]which went up after OPEC and several other nations cut production last year [00:29.49]The OPEC agreement is expected to add 1.7 million barrels of oil a day. [00:37.62]That would increase oil supplies more than seven percent. [00:44.15]Nine of the eleven OPEC members agreedd [00:49.40]to the increase at a meeting in Vienna. [00:53.52]Iraq is not involved in the plan [00:58.04]because of its separate Unigted Nations oil-for-food program. [01:04.08]Iran at first refused to take part in the increase [01:09.83]to protest American pressure on OPEC. [01:14.16]However,later Iran said it would also agree to increase production. [01:21.37]Iran is the second largest OPEC producer,after Saudi Arabia. [01:28.42]The United States is OPEC's largest market. [01:34.17]The Clinton administration had called for increases of up [01:39.60]to 2.5 million barrels a day to reduce high gasoline prices. [01:46.37]American lawmakers were threatening to punish OPEC [01:51.73]if it did not raise production. [01:55.67]Some non-OPEC members also plan to increase oil production. [02:02.49]Mexico will produce 150,000 barrels a day more,beginning saturday [02:10.72]Norway has also agreed to increase production. [02:15.73]And Venezuela said Friday that within a month [02:20.98]it will increase production by 125,000 barrels a day. [02:28.19]The OPEC ministers agreed to a Venezuelan proposal [02:34.04]for a system of quick supply changes [02:38.09]to keep prices from rising or falling too much. [02:43.06]At their meeting in Vienna they also elected Venezuela's Oil [02:49.30]Minister Ali Rodriguez as the new president of OPEC. [02:55.05]Mister rodriguez says OPEC will try to keep oil prices [03:01.81]between twenty-two dollars and twenty-eight dollars a barrel. [03:07.25]This past Monday,oil prices at the New York Mercantile Exchange [03:14.30]closed at almost twenty-four dollars a barrel. [03:19.55]This is the highest since the Persian Gulf War nine years ago [03:25.98]after Iraq invaded Kuwait. [03:29.82]But on Thursday,after the OPEC members agreed to increase production, [03:37.26]the price of oil fell below twenty-five dollars a barrel. [03:43.29]President Clinton urged American oil companies to use the savings [03:48.83]to lower gasoline prices for the public. [03:53.17]Economists say high oil prices can cause inflation [03:59.41]and hurt the economies of many nations. [04:03.75]OPEC supplies more than one-third of the world's oil. [04:09.18]Oil industry experts say it will be at least six [04:15.50]to eight weeks before the increased production reaches the public. [04:21.15]Some experts,however,question if the production increase [04:27.18]will be enough to satisfy the demand and hold prices down. [04:33.03]They note that many OPEC members already cheat on their production limits [04:40.19]by selling more oil than they are permitted. [04:44.63]OPEC ministers will meet again in June to study the effects of the increase |
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