Forex

High oil prices were not caused by a lack of supplies, said Khelil

The president of the Organisation of Petroleum Exporting Countries (OPEC), Chakib Khelil, on Tuesday said a steadying of the US dollar and eliminating the possibility of a war against Iran would be factors in stabilising oil prices.

High oil prices were not caused by a lack of supplies, said Khelil, who is also the Algerian energy minister, during the 19th World Petroleum Congress in Madrid.

He attributed the prices to the devaluation of the US dollar and accompanying market speculation, the geopolitical situation including the tension between Iran and the West, and the impact of bioethanol which had lowered diesel production.

"This is not an issue of supply," Khelil stressed. "Unless we address the real causes, we will not see lower oil prices."

There was "a need to do something about geopolitics and the dollar," the OPEC chief added.