Nigeria to seek increased oil output

The country's Junior Finance Minister Jubril Martins-Kuye said that President Olusegun Obasanjo would be seeking to meet key Opec members.

"It is our (cabinet's) view that the president has to go on a diplomatic shuttle to talk to OPEC...on the urgent need to increase Nigeria's oil export quota because the revenue shortfall as a result of the quota reduction is affecting our revenue drastically," Mr Martins-Kuye said.

"The argument we are going to advance to justify this demand...is that it is depriving us enough money to finance our nascent democracy.

"We must have enough money to ensure its survival," he added.

Oil exports account for about 95% of Nigeria's foreign exchange earnings, and the country is eager to increase exports to raise income.

Target range

But the AFP news agency quoted an unnamed Opec source as saying that the oil cartel had no plans to change its current output levels before its next planned meeting in September.

"There will be nothing before the next conference, but it is going to be on the agenda," the source is quoted as saying.

"If prices are within the comfort zone I don't think we need to do anything," the source added.

Opec has a target price range of between $22-28 a barrel, with oil prices currently in the middle of the range.

Nigeria's request could increase speculation that the country is about to leave the cartel.

Last week Nigerian officials denied that such a move was on the cards.