Oil prices have increased after the Saudi Arabia Energy Minister said that the market is set to balance.
Brent crude futures edged up 25 cents and were trading at $50.60 per barrel, while the US crude was up 22 cents at $49.21, Reuters reported.
Saudi Arabia’s Energy Minister and the secretary general of organisation of the petroleum exporting countries (OPEC) agreed that oil markets worldwide were heading towards balance.
Militant attacks in the Niger Delta have resulted in a fall in Nigerian crude production, although the Nigerian National Petroleum Corporation said that output was increasing following repairs last week.
The Niger Delta Avengers have attacked pipelines to gain a share of crude revenue in the delta region.
Morgan Stanley told the news agency: "After another counterseasonal summer build, gasoline cracks now trade below diesel, which should force refiners to act. The end result is likely to be run cuts, with some signs already emerging for 3Q."
Oil production in Russia stood at 10.84 million barrels per day (bpd) in June this year, representing a rise from 10.83 million bpd in May.
Oil workers in Norway signed an agreement avoiding a strike that would have reduced production from the country by about 6%.