Oil prices have fallen further and likely to see the largest weekly drop in a month after Saudi Arabia dashed expectations of oil producing countries agreeing to a freeze in production.  

Brent crude oil futures LCOc1 dropped 52 cents to touch at $49.15 per barrel, while US West Texas Intermediate (WTI) crude CLc1 fell 28 cents to reach $47.05 a barrel, reported Reuters.

"We don't believe any significant intervention in the market is necessary other than to allow the forces of supply and demand."

Saudi Arabian Energy Minister Khalid Al-Falih told the news agency: "We don't believe any significant intervention in the market is necessary other than to allow the forces of supply and demand to do the work for us."

He also added that the 'market is moving in the right direction'.

The Organization of the Petroleum Exporting Countries members will meet at the International Energy Forum, which will be held in Algeria from 26-28 September.

The oil market has been troubled by oversupply for more than two years. So far this week, the crude oil price has dropped by at least 3%.