AFP - The OPEC oil exporting group is likely to maintain its production levels when cartel ministers meet in Luanda, Angola December 22, the Algerian energy minister said on Wednesday.

"We are going to keep the same output level until we have a clearer vision of the world economic situation," Chakib Khelil said in a report carried by the APS news agency.

"Any decision by OPEC will depend on developments in the world economy ... I think everyone agrees that we don't as yet have a clearer picture of the world economy.

"It is better to stay with the current situation, that is, maintaining production quotas," he said, adding that the market was currently well-supplied with oil.

The Organization of Petroleum Exporting Countries is due to re-examine its production quotas at its meeting next month. Venezuela and Kuwait have already said they want to hold output at 24.84 million barrels a day, a level set in January.

Khelil said oil prices were not determined only by supply and demand. Exerting greater influence were "more optimistic projections" for global economic momentum.

"Most people think the economy is going to improve, that demand will pick up and that prices will strengthen," he said.

As a result, dealers are buying oil now in order to be able to sell at higher prices in the next few months.

"But if things do not go well, they will start to get rid of this oil very quickly," he predicted, suggesting another recession was possible.

Khelil said the US economy, to which those of China and India are closely connected, could weigh heavily on oil prices if the United States suffered a new slowdown.

Oil is now trading at around 76 dollars a barrel after having plunged to 40 dollars a year ago.