Purnomo says OPEC can't immediately increase oil output

The Organization of Petroleum Exporting Countries (OPEC) can?t immediately increase output to help cool sky-high global oil prices, the group's president told the Dow Jones Newswires in Jakarta on Tuesday.

Saudi Arabia, the world's largest oil producer, has spare capacity, but can't bring more crude supply to the market in the short-term, OPEC President Purnomo Yusgiantoro said.

"(Saudi Oil Minister Ali) al-Naimi said Saudi Arabia can increase production, but it needs time to do so," Purnomo said at press briefing.

Oil prices are soaring due to fears of terrorist attacks, disruptions to Iraq crude exports and financial troubles at Russia's largest oil producer Yukos.

Crude futures in New York settled at a fresh all-time high Monday, just cents away from $44 a barrel.

At 0747 GMT on Tuesday, the September light sweet crude contract on the New York Mercantile Exchange was at $44.08 a barrel, up 26 cents/bbl in the after-hours electronic session, but down from a high of $44.24/bbl. (*)