Assaluyeh, Iran (Platts)--2Jul2007

Iranian oil minister Kazem Vaziri-Hamaneh said Monday that there was no
need to change OPEC's production target because there was no shortage of crude
oil and stocks in consuming countries are high.

     "Oil prices are suitable. There is no shortage of oil and storages are
high," Vaziri-Hamaneh told reporters.

     "Although is is the season of consumption, there is no reason to change
OPEC's production," he added.

     Vaziri-Hamaneh was a member of a delegation accompanying Iranian
President Mahmoud Ahmadinejad and Venezuelan leader Hugo Chavez to the Persian
Gulf terminal of Assaluyeh. The two countries are both OPEC producers and
strong allies.

     OPEC set a target of 25.8 million b/d from February this year and several
ministers have said they see no need to produce more despite higher oil
prices, currently trading at their highest levels since August 2006.