LONDON, March 15: World oil prices fell in London but held firm in New York on Thursday after the Organisation of Petroleum Exporting Countries kept its official production quota at 25.8 million barrels of oil per day.

The price of Brent North Sea crude for April delivery slid 24 cents to $60.82 per barrel in electronic deals, reversing earlier gains. Brent traded above New York crude owing to its expiry at the close.

New York’s main oil futures contract, light sweet crude for delivery in April, added 19 cents to $58.35 per barrel in floor trading, but fell as low as $57.95 after the Opec news.

Regarding the oil price reaction, Global Insight analyst Simon Wardell said:

“It may be just a little relief in terms of hearing Opec roll over the quotas.”

The powerful Opec cartel, which supplies more than one third of global crude, opted to leave its official quota unchanged after a meeting in Vienna.

“The market is stable, the market is healthy, we do not need to touch it (output) at this time,” Opec Secretary General Abdullah al-Badri told a press conference after the ministerial meet.

Oil prices have switched between big gains and losses in recent weeks, mirroring heavy falls and rebounds to global stock markets caused partly by concern about a weaker US economy.

On Thursday ahead of the production announcement, crude futures easily topped Opec’s unofficial $60 target level in London trade. They showed limited reaction following the output decision.

The 12-nation cartel — which had cut production at its two previous meetings in October and December — decided against an explicit output announcement in its official written statement on Thursday.

“The quota is the same,” Qatari Energy Minister Abdullah bin Hamad al-Attiyah told reporters after the ministerial huddle.

In a statement after the meeting, the cartel focused on volatility in the oil market.—AFP