The talks between the government and striking oil PSUs failed late Thursday night over the officers' insistence on getting an immediate hike in their wages as the agitation entered the second day threatening a major disruption in supply of petrol across the country.

"We have had some discussions but we are yet to reach a conclusion. We will continue to have discussions," Indian Oil Corporation Chairman Sarthak Behuria told reporters after Petroleum Minister Murli Deora held a two-hour meeting with the striking officers that ended at Noida an hour after midnight.