As well, it must be noted that unofficially there has been approximately one million barrels per day produced so the actual figure begins to look more like an addition of only .45 million barrels of oil per day. Many analysts view this as too little, too late. Thus there will be no real downward pressure on prices in the near term. Nothing and yet everything. The increase in prices which started in 1999 were starting to be felt in the market as of February, 2000.
Inventory is too low.
Many investment consultants see these slightly lower prices simply as establishing the new low for the next surgeupwards in a very bullish oil market. The projected increase per day includes the recommended contribution from Iran of 264,000 barrels of oil per day. But Iran is a difficult member. But Iran is involved in major dealings right now. On March 14th Iran announced that it had obtained funding for the construction of a Caspian Sea export pipeline which will run through either Iran or Russia.