TEHRAN (IRNA) -- Oil Minister Gholam-Hossein Nozari said on Tuesday that the price which motivates investment in the sector is the suitable price for crude.

“I believe that with price ranging between $80 and $90, some countries, including Canada, which extracts oil from deep underwater wells will stand to lose and be eased out of the list of producing nations,” Nozari told reporters here on the sidelines of Iran-Russia-Qatar gas session.
He was responding to a question on the most suitable price for oil given the fact that President Mahmoud Ahmadinejad had cited $150 per barrel as the most suitable one.
Nozari said, “Taking into account the current inflation level, we think under such conditions oil prices are very low and $150 should not be an unattainable target.” He said gone is the era of cheap energy sources.
“Oil and gas projects, including those in the exploration, production to exports sectors, cost well above these (the current figures). If oil prices do not become real, definitely, in a not too distant future, the market will witness prices higher than what you mentioned,” he told the reporter.
Asked whether Saudi Arabia will support OPEC oil production cut, Nozari said, “Saudi Arabia has supported holding emergency meeting and we believe there are grounds for cooperation among all.”
To a question about the level of oil production cut favored by Iran, he said two to 2.5 million barrels cut in the output can stabilize the market.