Oil prices have dropped towards $50 a barrel amid growing uncertainty as to whether OPEC will extend the output-cut deal beyond June to eliminate global oversupply.
Brent crude fell by 19 cents to be traded at $50.61 a barrel, while US crude dropped by 31 cents to $47.66, reported Reuters.
Go deeper with GlobalData
Last year, OPEC members and other oil exporting countries decided to cut their output by 1.8 million barrels a day for the first six months of 2017 to reduce rising oil inventory.
Recently, a committee of ministers from multiple OPEC countries met in Kuwait to assess the compliance level of supply cuts.
The committee said that they would consider extending the output cut deal, while earlier it previously recommended in increasing the duration further, reported the news agency.
Although many countries favour an extension, several other nations such as Russia are yet to announce their stances.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataRussian Energy Minister Alexander Novak was reported by Reuters as saying that it is too early to say if there would be an extension.
Meanwhile, Baker Hughes reported that US drillers added oil rigs for the tenth consecutive week.
