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OPEC: Bio-fuels could lead to soaring oil prices

The Organization of Petroleum Exporting Countries has warned that the drive for environment-friendly bio-fuel risked pushing oil prices „through the roof,” the Financial Times reported yesterday.

OPEC Secretary-General Abdalla El Badri told the Peninsula that the development of bio-fuels had made the powerful cartel consider cutting investment in new oil production. „If we are unable to see a security of demand... we may revisit investment in the long term,” the newspaper quoted him as saying.

The FT said El Badri also warned that bio-fuel output could become unsustainable because it competed with food production. He added that crude oil prices could go „through the roof” if investment in bio-fuels backfired. (