OPEC split as summit ends without a deal to pump more crude
There is no end in sight to high oil prices after an OPEC meeting including the Middle East's top producers failed to reach an expected agreement to boost production that would have eased the cost of crude.
Despite some members of the Organisation of Petroleum Exporting Countries suggesting the group was likely to agree to pump an extra 1.5 million barrels per day, hours of talks in Vienna yesterday finished without a deal.
Saudi Arabia had been the biggest cheerleader for a boost in OPEC's collective production of around 29 million barrels per day - including Iraq which is not a full member - but failed to convince all of its fellow members, with six of the 12 countries opposed to an increase.
"This is one of the worst meetings we have ever had," said Saudi Oil Minister Ali Al Naimi.
The result was unexpected and reflects unusual tensions as OPEC usually works by consensus.
Prior to the meeting, UAE oil minister Mohammed al Hamli said: "In OPEC we reach unanimous decisions." He also warned oil supply would be "tight" in the second half of this year without an output boost.
Saudi Arabia and other influential Gulf nations had pushed to increase production ceilings to calm markets and ease concerns that crude was overpriced for consumer nations struggling with their economies.
Those opposed were led by Iran, the second-strongest producer within the organisation - Gulf Arab delegates said Iran, Venezuela and Algeria were among those who refused to consider an output increase.
Secretary General Abdullah El Badri said effectively that meant there was no change in policy and that OPEC hoped to meet again in three months time - but not date has yet been set.
"Unfortunately we are unable to reach a consensus to reduce or raise production," El Badri said.
After the news of the failed talks emerged, US Brent crude rose $1.64 a barrel to $118.42
