But after a contentious meeting in Riyadh, Iran and Saudi Arabia issued a statement appearing to back higher output. A United States official acknowledges that Washington has used back channels to get its pro-production message to Iran and Libya in recent weeks. Since its statement with Saudi Arabia, Iran has waffled. With less extra production capacity than some other producers, Iran will benefit less from an output boost and is said to favor only a modest increase. Even if OPEC should reach unanimity on raising oil output, it might not be enough to fill the badly depleted United States gasoline tank.
Saudi oil takes six weeks to reach the United States.
Oil from Venezuela or Mexico can take as long as four weeks. When additional supplies arrive in late April or May, refiners will have to ramp up to 98 percent capacity and sustain that level well into the summer to avoid some shortages, says the Energy Department's Hakes. Bob Slaughter, general counsel of a refiners' trade association, notes that three West Coast refineries had problems last summer.