WTI slightly lower at mid-afternoon in New York

Oil prices were up early on Monday after the Organization of Petroleum Exporting Countries said it will leave current production quotas in place at least through June. The decision came even though the International Energy Agency said on Friday that the lower quotas could mean that supply will not keep up with demand through the summer.

Concerns also continued over African production, specifically in Nigeria and Congo. There was a fire at an oil field in the Congo Republic, cutting production at the 60,000-barrel-per-day facility. Production there is expected to be restored within three weeks. Meanwhile, labor unions in Nigeria are calling for a two-day strike to protest irregularities in last month’s presidential election there.

By mid-afternoon trade in New York, however, West Texas Intermediate crude for June delivery had dropped 7 cents from Friday’s close to trade at $62.30 per barrel. Gasoline and heating oil futures were also lower. Nymex June gasoline was down 6 cents to $2.30 per gallon, while Nymex July heating oil had dropped 2 cents to $1.87 per gallon. On the other hand, the price of natural gas was higher, with July contracts adding 8 cents to $8.14 per million British thermal units.