Iraq aims to raise oil output to 3 million barrels per day by the end of next year, its oil minister said on Saturday and added that $100 per barrel was a fair price for crude.

'We hope to raise production to 3 million (barrels per day) by the end of 2011. Investing in infrastructure is a priority for us,' Minister Abdul Kareem Luaibi said on the sidelines of a conference of Arab oil exporting countries in Cairo.

Asked about global oil prices, Luaibi said that $100 per barrel was a fair price for crude.

Meanwhile, Libya said it has the ability to produce close to 2 million barrels of oil per day but is only producing around 1.5 million, in line with its international commitments.

'Our capacity is close to 2 million (barrels a day) but you know we are producing around 1.5 million,' Shokri Ghanem, the chairman of Libya's National Oil Corporation, said in Cairo.

'Production is as per our international commitment, in particular our Opec commitment, and in the meanwhile we don't want to rock the boat of the market,' he added-Reuters