ABU DHABI — OPEC plans to increase crude oil production by 500,000 barrels per day in May.

OPEC president Ahmed Fahd Al Sabah said the growth in production stemmed from higher global demand. He said all OPEC members would participate in the higher production quota.

"In May, there'll be an increase in production, because [growth in] demand in the third quarter will dictate an increase in production," Ahmed said on May 18. "We believe there will be an actual production hike of 500,000 barrels per day."

In March OPEC ministers agreed to a 500,000 barrel per day oil output increase during their meeting in the Iranian city of Isfahan. The cartel provided the OPEC president the option to authorize another 500,000 bpd increase. The cartel has a ceiling of 27.5 million barrels per day.