Iran's main oil export terminal, Kharg Island. November 6: Exploratory well in Ranger, Texas, blows out, spilling of crude oil. December: OPEC output hits boosting a glut and triggering a price war. 1986 Average world oil prices fall by over 50 percent in 1986. There is wide use of netback pricing in 1986. February 3–4: OPEC fails to agree upon a production accord after a two-day meeting in Vienna. February: Iran captures southern Faw peninsula, starts northern offensive. May 7: Iraq bombs Tehran refinery. June: OPEC production-cut talks fail, ending in a tentative majority pact on an average 1986 ceiling of . June 8: Iraqi jets attack Assadabad satellite station. July: Brent price dips under $9 per barrel. OPEC production rises to . Jul 27: Iraqi jets attack central Iranian city of Arak. Iran threatens missile attack of gulf states supporting Iraq. Aug 2: Hussein offers peace in open letter to Iran. Aug 4: Reports of probable OPEC agreement on output quotas sends oil prices higher. Aug 12: Iran fires missile at refinery near Baghdad. Iraq raids Iranian terminal at Sirri Island severely disrupting Iranian exports. December 19: OPEC reaches an accord that would cut production by seven percent for the first six months of 1987 (from to ) and would raise prices immediately toward a target world oil price of $18 per barrel. 1987 January: OPEC price accord begins to deteriorate. February: OPEC majors stick to fixed prices. Jun-Aug: Gulf war escalates. December: OPEC meeting failure. 1988 February: OPEC price meeting set. March: OPEC/Non-OPEC meeting failure. July: Iran accepts cease fire. October 14: Crude oil prices jump in anticipation of possible production accord at Gulf Cooperation Council meeting set for October 16. November 28: OPEC reaches production accord. Six-month agreement to set production at . Although the recent OPEC quota had been , actual OPEC production had been closer to . December: Fulmar/Brent outages. 1989 March: Exxon tanker Valdez runs aground, spilling of crude oil in the waters of Prince William Sound's Bligh Reef. Oil prices react upward to news of the spill and to potential shortages on the west coast caused by refinery fires there. June: OPEC raises their production ceiling to . The 1990s See: 1990-1999 world oil market chronology 1990 Aug: Iraq invades Kuwait. Crude and product prices soar upward; exchange markets react wildly to any middle east news events; cash markets dominate prices after trading