OPEC+ will resume talks after reaching a deadlock over February oil output levels as Saudi argued against pumping more due to new lockdowns while Russia led calls for higher production
Oil prices touched multi-month highs on expectations that OPEC and allied producers may cap output at current levels in February as the pandemic keeps worries about first-half demand elevated
Demand will rise by 5.90 million barrels per day (bpd) next year to 95.89 million bpd, the Organization of the Petroleum Exporting Countries said in a monthly report
Monday's virtual gathering of the 13 OPEC ministers broke up without agreement, the bigger OPEC+ meeting was delayed by two days and then by another two hours as the start time approached
Oil prices extended losses, hit by a surprise build in oil inventories in the US and as OPEC and allies left markets in limbo by delaying a meeting to decide whether to increase output in January
Brent crude was down 19 cents at $47.69 a barrel by 1430 GMT and West Texas Intermediate was down 36 cents at $44.98.
Oil prices slipped amid concerns over mounting supply after leading producers delayed talks on 2021 output policy that could extend production cuts as the Covid pandemic continues to sap fuel demand
The OPEC+ group of producers was due to raise output by 2 million bpd in January
Key members of OPEC are wary that strains in the OPEC+ alliance could reemerge with Biden as US President, close sources said and would miss Trump who helped bring about a record oil output cut
Saudi Arabia's Energy Minister Prince Abdulaziz bin Salman, speaking at the coalition's committee meeting on Monday, called on the group to be proactive in the face of uncertain demand
Brent crude futures fell 23 cents to settle at $42.93 a barrel, and US West Texas Intermediate (WTI) crude futures dropped 8 cents to settle at $40.88 a barrel
"We have to be realistic that this recovery is not picking up pace at the rate that we expected earlier in the year," he said. "Demand itself is still looking anaemic."
At the same time, markets are set to receive fresh supplies in January as OPEC and its partners relax some of the measures they've taken to prevent a glut
The main reason OPEC was able to wrest this control in 1973 was that in 1970, crude oil production in Texas started to fall
Oil prices slipped further below $40 a barrel in London on Monday, close to their lowest in more than two months
Earlier on Wednesday, Oil Minister Ihsan Abdul Jabbar was quoted as saying that he has spoken about the exemption to key OPEC oil ministers in three separate meetings
Firmer stock markets and a weaker dollar were also lending support, said Commerzbank analyst Eugen Weinberg
World oil demand will fall by 9.06 million barrels per day (bpd) this year, the Organization of the Petroleum Exporting Countries said in a monthly report
The oil company will boost outpur capacity by 1 million barrels per day (bpd) to 13 million bpd despite spending cuts this year and next year
Both benchmarks rose 2% on Wednesday following a sharp drawdown in US crude inventories