OPEC Unlikely to Raise Production Quotas in June, IEA Says

The Organization of Petroleum Exporting Countries is unlikely to increase crude production quotas at its June 8 meeting, said Richard Jones, deputy executive director of the International Energy Agency.

“I would be skeptical,” he said today at a press conference in Brussels. “Knowing OPEC politics, it would be difficult to make a decision in June.”

Crude markets are “pretty tight” due to production outages in Libya, and the IEA is urging producers to add more supply to the market, Jones said.

“We know they are likely to get even tighter, so we are trying to get people to think ahead,” he said. “We are urging all producers to see what they can do. We want them to look at the situation and we are prepared to help too.”

The agency’s governing board last week said there was a “clear, urgent need for additional supplies” to be added to the oil market.

-- With assistance from Lananh Nguyen in London. Editors: Rob Verdonck, John Buckley

To contact the reporter on this story: Ewa Krukowska in Brussels at ekrukowska@bloomberg.net

To contact the editor responsible for this story: Stephen Voss at sev@bloomberg.net

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