VIENNA, Austria — The Organization of Petroleum Exporting Countries (OPEC) has announced that it will reduce oil production on Nov. 1, sending crude oil prices significantly higher which is likely to generate higher heating oil prices in the United States this winter.

OPEC stated that production would be cut by 3.5 percent. The announcement was a surprise, as it was expected that the member nations would maintain production at current levels.

Although inventories of heating oil in the U.S. are said to be adequate, sharply higher crude oil prices could drive up the price of heating oil along with it.

Publication date: 09/22/2003