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Oil prices fell about 1% on Monday, as drilling activity in the United States, the world's largest oil producer, resumed and financial markets were reduced by trade concerns.
A fire in a refinery in the US state of Illinois, which resulted in the closure of a large crude distillation unit, could lower demand for crude oil, which would also have weighed on prices, said traders.
The WTI (West Texas Intermediate) futures price was $ 52.09 per barrel at 0347 GMT, down 63 cents (1.2%) from their latest settlement.
Brent International crude futures fell 49 cents, or 0.8%, to $ 61.61 a barrel.
In the United States, energy companies have increased the number of oil rigs in operation for the second time in three weeks, a weekly report from Baker Hughes said Friday.
The companies added seven oil rigs during the week to February 8, bringing the total to 854, indicating a further increase in US crude oil production, which is already at a record 11.9 million bpd.
WTI prices were also weighed down by the closure of a 120,000 barrel per day crude oil distillation unit (CDU) at the Phillips 66 refinery in Wood River, Illinois, as a result. from a fire.
Elsewhere, the head of Russian oil giant Rosneft, Igor Sechin, wrote to Russian President Vladimir Putin that the agreement between Moscow and the Organization of the Petroleum Exporting Countries (OPEC) to withhold production was a strategic threat and was playing in the hands of the United States. States.
The so-called OPEC + agreement has been in place since 2017 and aims to limit a global oversupply. It has been extended several times and under the last agreement, participants reduce their production from 1.2 million bpd until the end of June.
OPEC and its allies will meet in Vienna on 17 and 18 April to discuss the pact.
Analysts said economic concerns also weighed on crude oil futures.
Vandana Hari of Vanda Insights said in a note that crude prices had been driven downward "as China returned from a week-long Lunar New Year holiday and that the regional stock markets plunged into the red then that the concerns over the US-China trade dispute "disappeared.
Trade talks between Washington and Beijing resume this week with a delegation of US representatives traveling to China for the next round of negotiations. The United States has threatened to increase tariffs already imposed on goods from China on March 1 if trade negotiations do not result in an agreement.
The United States has imposed sanctions on Venezuela to prevent the drop in crude oil prices, which targets its public oil company Petroleos de Venezeula SA (PDVSA).
"The problems in Venezuela continue to support prices." Reports are becoming clear, as PDVSA is striving to secure new markets for its crude after the United States has imposed additional sanctions on the United States. country, "ANZ bank said on Monday.
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