OPEC to hold September meeting in Osaka

OPEC is to hold its next ministerial meeting in Osaka on Sept 18, when it will discuss Algerian and Nigerian demands for a hike in production quotas, a spokesman said.

OPEC ministers "decided it would be more convenient for them to meet in Osaka," where an International Energy Forum opens on Sept 21, a spokesman said.

Ministers are expected to discuss requests by Nigeria and Algeria that their production quotas be raised in spite of a market that would seem unlikely to be able to absorb a substantial increase.

An OPEC source said he did not expect the organisation to boost output, except "maybe a modest 500,000 barrels a day to accommodate the requests by Nigeria and Algeria for higher quotas".

"I do not think the market can absorb more crude for the time being," he said, adding: "Prices are within a very reasonable range now."