Baku Energy Forum - Drawing parallels between OPEC, GECF absolutely wrong – secretary general

Drawing parallels between OPEC, GECF absolutely wrong – secretary general


It is absolutely wrong to draw parallels between OPEC and Gas Exporting Countries Forum (GECF), said GECF secretary general Yury Sentyurin.

He pointed out that GECF has never set tasks related to the development of a common export policy of member countries.

The GECF advocates the interests of producers by using "soft power", that’s to say by popularizing natural gas, he told “Neftegazovaya Vertikal” magazine.

At the same time, the organization has potential to facilitate the export of natural gas, including liquefied natural gas (LNG), without using non-market methods, according to Sentyurin.

“For example, the organization can develop a mechanism of swap supplies or mutual settlements for member countries, which would partially reduce transportation costs for our exporting companies,” he added.

Further, talking about oil-indexed price mechanism, GECF’s secretary general said that oil-indexed gas contracts allow to avoid price volatility. It is beneficial both for suppliers, who need to plan long-term investments in production and for buyers, he added.

GECF is an international governmental organization which provides the framework for exchanging experience and information among member countries. GECF is a gathering of the world’s leading gas producers and was set up as international governmental organization with the objective to increase the level of coordination and strengthen the collaboration among member countries.

The member countries of the Forum are: Algeria, Bolivia, Egypt, Equatorial Guinea, Iran, Libya, Nigeria, Qatar, Russia, Trinidad and Tobago, United Arab Emirates and Venezuela. Azerbaijan, Iraq, Kazakhstan, the Netherlands, Norway, Oman and Peru have the status of observer members.