Brazil to join OPEC?

Trend: Brazil is considering an invite from Iran to join OPEC, potentially giving OPEC more control over the world's available oil supply.

BBC NEWS reports that Brazil discovery of major sources of offshore oil has attracted the attention of OPEC, who likes to coordinate oil production among the major producers.

Link: BBC NEWS | Business | Opec invites Brazil to join group.

Iran has invited Brazil to join oil producers' cartel Opec, Brazil's energy and mines minister has said.

The moves comes after Brazil recently announced finding major sources of offshore oil, prompting significant international attention.

Brazil is considering the invite. Its National Energy Policy Council has the final word on whether it wants to join.

While oil prices have fallen from record levels, many analysts say the longer trend remains high prices.

As a member of the oil producers' organisation, Iran can suggest the membership of another country.

Untapped oil

In April, the head of Brazil's National Petroleum Agency said an oil field offshore from Rio de Janeiro's coast could contain 33 billion barrels.

That finding came after state-owned Petrobras said the offshore Tupi field was estimated to hold between five billion and eight billion barrels of untapped light oil.

The discoveries could turn Brazil into a major oil exporter, say analysts.

Slower economic growth has dented demand for oil, pushing prices down to around $110 a barrel from above $147 per barrel reached in July.