Vienna, Austria ? OPEC members agreed Thursday to cut their current oil output by 2 million barrels a day, or 7 percent, in an effort to head off more declines in oil prices.

At the same time, the Organization of Petroleum Exporting Countries temporarily raised its official output target to 25.4 million barrels, up 900,000 barrels a day from its existing ceiling.

The new quota would take effect June 1, OPEC President Abdullah bin Hamad Al-Attiyah told a news conference.

OPEC representatives called Thursday’s meeting in Vienna to reassess the group’s output levels as oil began flowing again in Iraq for the first time since the war.

OPEC is ready to welcome Iraq back as a participating member, Al-Attiyah said.

“I hope Iraq comes back tomorrow,” he said, adding later: “We will accommodate Iraq at the right time.”

Several OPEC members had boosted their production before the war, hoping to head off a supply shortage. The rapid end of the conflict left them facing what they see as a surplus of 2 million barrels a day.

Crude prices have tumbled in recent weeks, and OPEC feared a further decline as crude demand reached a seasonal low exacerbated by the outbreak of severe acute respiratory syndrome, which has affected many airlines.

OPEC plans to review its decision when it meets again June 11 in Qatar.

In the days leading up to hostilities in Iraq, U.S. crude prices peaked at almost $40 a barrel.

On Thursday, contracts of U.S. light, sweet crude for June delivery closed at $26.64 a barrel, down 1 cent from Wednesday’s close.

In London, June contracts of North Sea Brent crude closed at $24.30, up 4 cents a barrel.

Many energy analysts had expected OPEC to agree to curb production. The question was whether OPEC would try do so by lowering its official output target or by taking the much less drastic step of reining in the amount of oil its members were pumping above their respective quotas.