Opec has confirmed that it will hold an emergency meeting in Cairo on 29 November to discuss the plunging price of crude oil.

The oil producers' cartel is expected to consider futher cuts to production in an attempt to put a floor under recent price falls.

Last month, Opec announced a cut of 1.5 million barrels per day in production but the move has so far failed to stimulate a recovery in prices.

Oil prices fell again this morning with US crude for December losing just over a $ to $57.21 a barrel, despite closing $2.08 higher on Thursday. London Brent crude for January, also lost $1.3 to $54.94.

The price of oil has dropped almost two-thirds in value since its July peak of $147.27, and on Thursday touched $54.67, its lowest since January 30 2007.

Oil project investment worldwide could also be hampered by continuing low prices, the head of the International Energy Agency has said, creating serious concerns about whether there will remain sufficient supplies when the global economy reverses its current slowdown.

Nobuo Tanaka, head of the IEA, told an energy industry symposium in Tokyo: "There are concerns that as [oil] prices fall, national oil companies and oil majors may backtrack high-cost and difficult projects.”

“The global economy may ultimately recover in a few years and push up oil demand. If supplies do not catch up with that, there may be serious consequences,” Mr Tanaka said.

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