London: Oil reversed course and rose on Thursday, after industry sources said Russia had accepted the need to cut production, together with Opec.
The price is still set for its biggest one-month fall in November since the depths of the financial crisis in 2008, having lost more than 22 percent so far.
A seemingly relentless rise in US crude supply, together with Saudi Arabia’s insistence that it will not cut output on its own to stabilise the market, earlier sent Brent crude to another 2018 low below $58 a barrel.
The Russian energy ministry held a meeting with the heads of domestic oil producers on Tuesday, before a gathering in Vienna of the Organisation of the Petroleum Exporting Countries and its allies on Dec. 6-7.
“The idea at the meeting was that Russia needs to reduce. The key question is how quickly and by how much,” said one source familiar with the talks between Russian oil firms and the ministry.
Brent crude futures were last up 51 cents on the day at $59.27 a barrel, off an earlier session low of $57.50, while U.S. crude futures rose 68 cents to $50.97.
Russian President Vladimir Putin, whose country is the world’s second biggest oil producer, said on Wednesday he was in touch with Opec and ready to continue cooperation on supply if needed, but he was satisfied with an oil price of $60....