What is the OPEC

What is the OPEC

Oil is the main source of technical hydrocarbonic raw materials in the modern world. Importance of its production cannot be overestimated. The huge share of world export of oil is provided by only twelve countries united within the international intergovernmental organization of OPEC.

The sponsor of placement P&G Articles on the subject "What Is the OPEC" That such NATO Where is transported the Caspian oil What countries are a part the Big 8 (G8) Term of "OPEC" is a transliteration of an English abbreviation of OPEC which is deciphered as The Organization of the Petroleum Exporting Countries. This name is translated into Russian as "Organization of Petroleum Exporting Countries".

The OPEC represents the international intergovernmental organization with the headquarters located in Vienna which was founded by the countries being the world's largest getters and exporters of oil. A main objective of the organization - elaboration of strategy of regulation and stabilization of prices of oil in the universal market, the accounting of commercial interests of member countries, regulation and restriction of production and export of oil by acceptance of quotas, creation of guarantees of ensuring uninterrupted supply of oil to consumers.

The OPEC was created during the period from September 10 to September 14, 1960 during the conference held in Baghdad by representatives of the first member countries. As the initiator of creation of OPEC Venezuela acted. The first countries which entered into the organization were Kuwait, Saudi Arabia, Iran, Venezuela and Iraq. Now it includes also the United Arab Emirates, Angola, Qatar, Algeria, Libya, Ecuador and Nigeria (only 12 countries). Left OPEC Gabon (in 1994) and Indonesia (on November 1, 2008).

Member countries of OPEC provide more than 40% of volume of production and more than 50% of export of oil on a global scale. They possess about 66% of all stocks of raw materials of this type on the planet. In essence the OPEC is association of the exclusive type differently called by cartel.

Primary activity of the organization is carried out within meetings of Ministers of Energy of the member countries held twice a year. At these meetings the condition of the international oil market is estimated and the concept of pricing depending on level of demand is developed. Also the decisions directed on stabilization of a situation in the market are made.