The plunge in oil prices is scaring some members of OPEC.
Nigeria’s oil minister told the Financial Times Monday that the crash in crude oil prices could cause the cartel to hold an emergency meeting.
OPEC isn’t scheduled to hold a regular meeting again until June. The last time it met, on Thanksgiving Day, a Saudi Arabia-led OPEC announced it would not cut production to offset an oil supply glut from new U.S. supply.
Since then, oil prices have plummeted 30%. It’s hurt some oil producing countries more than others.
In theory, an emergency OPEC meeting could open the door for a cut in production and push prices higher. In reality, such an outcome looks unlikely.
“There are absolutely no signs that they are going to have an OPEC meeting of substance” anytime soon, said Tom Kloza, chief oil analyst at the Oil Prices Information Service.
In other words, even if OPEC held an emergency meeting, the group isn’t likely to shift strategies.