Leading gas powers today took a step towards setting up an OPEC-style group, but sought to reassure consumer nations it was business as usual for now.
The Gas Exporting Countries Forum, at its first meeting in two years, decided to establish a group of experts to study how to strengthen the previously toothless group. "In the long term we are moving towards a gas OPEC," Algerian Energy and Mines Minister Chakib Khelil said. "It will take a long time."
The study group, spearheaded by the world's leading gas exporter Russia, will look at pricing, infrastructure and the relationship between producers and consumers, ministers said. It will report back to the gas forum's next ministerial meeting in Moscow in 2008.
The energy minister of Qatar, host to Monday's meeting and home to the world's third largest gas reserves, placed the emphasis on improved dialogue between producers and consumers. "We should work towards greater cooperation to stabilise the market, to give confidence to our consumers. We should send a very positive statement to our customers that we are with you, not against you," Abdullah bin Hamad al-Attiyah said.
He took exception to use of the term cartel, saying he preferred club or group. "I hate the word cartel," he said. Russia also rejected the implication producers would collaborate at consumer expense.
"We do not, and will not, set ourselves the goal of ganging up on anybody. It would be destructive and it would make no sense at all," Russian Energy Minister Viktor Khristenko said ahead of today's meeting.