He said there is a need to rebalance and stablise the oil market so that industry investment can return to sufficient levels necessary to secure future supply. Companies from Vitol Group, the largest independent oil trader, to energy major BP Plc still see shale as creating a ceiling, especially at current prices.
"When we had the hurricane disruptions, that translated into strong margins and disruptions to USA crude exports".
In New York, November West Texas Intermediate crude added 11 cents, or 0.2%, to settle at US$51.67 a barrel.More news: 'Trump dossier' on Russian Federation links now part of special counsel's probe
Nigeria was shielded from output freeze due to the instability in the country's crude oil production.
Oil slid in NY after its biggest monthly gain in more than a year as the boost from seasonal demand and political tensions in Iraq was expected to fade.
Refinery maintenance season is looming large over US facilities but last week these processed crude at an average rate of 16 million bpd, compared with 16.2 million bpd in the week before, producing 9.9 million bpd of gasoline, flat on the previous week.More news: San Antonio Spurs: A look at the new All-Star Game format
Crude oil futures plunged by Rs 55 to Rs 3,318 per barrel on Tuesday as speculators reduced bets amid a weakening trend overseas. Since March, OPEC members have observed an agreement to reduce output to 1.8 million barrels pd. It notched a third-quarter gain of about 20 percent, the biggest third-quarter increase since 2004 and traded as high as $59.49 last week.
With demand outpacing supply, crude and refined products inventories are shrinking.
Nationwide crude stockpiles fell by 4.08 million barrels last week, the API said Tuesday, according to people familiar with the data. Since then, WTI has surged more than 22 percent, reaching $52.22/barrel, the highest price for the black gold since April. As a result, oil prices have soared.More news: Afghanistan pull-out would be 'to our ultimate peril': James Mattis
"Brent crude oil prices have gone from strength to strength as surplus oil stocks are being depleted", Bank of America Merrill Lynch said in a report. Russian Federation is part of a committee monitoring production from the parties to an effort led by the Organization of Petroleum Exporting Countries to balance the market with production cuts, and exports would add another layer of accountability.