OPEC keeps output steady in face of $100 oil

By Peg Mackey and Barbara Lewis

VIENNA (Reuters) - OPEC ministers agreed to hold output steady and said oil prices which hit an all-time high on Wednesday were driven by factors beyond their control.

U.S. crude struck a record of $104.64 a barrel.

The world's biggest fuel burner, the United States, had said even a token supply increase from the Organization of the Petroleum Exporting Countries would help to tame prices and limit any damage to a fragile world economy.

U.S. President George W. Bush was disappointed with Wednesday's OPEC decision, a White House spokeswoman said.

But OPEC ministers argued the oil market was pushed higher by a weak dollar, speculation and political strife, and not by a lack of crude.

"Yes, the production will not be changed," Iraqi Oil Minister Hussain al-Shahristani told reporters as he emerged from Wednesday's meeting.

Nigerian Minister of State for Oil Odein Ajumogobia said oil above $100 was uncomfortable and above $80 a barrel was high.

"The OPEC official position has been anything above $80 is on the high side," he said.