OPEC Shows Willingness to IncreaseDaily Oil Quota by 500,000 Barrels
Representatives of OPEC say they are prepared to increase their oil production ceiling by under 2 percent, but warn that high oil prices are caused by refinery shortfalls, which are beyond their control and have been worsened after Hurricane Katrina disabled four major refineries along Gulf of Mexico; are also discussing alternative proposal of releasing two million barrels a day of production it currently holds as spare capacity, saying move would send strong signal that OPEC has untapped reserved to meet demand; group's current ceiling is 28 million barrels a day, and actual production is closer to 28.2 million barrels a day; photos (M)