September’s oil figures revealed an increase in Oil production by Saudi Arabia, Kuwait, Libya and Iraq. Total oil production from the cartel stood at 120,000 bpd in August, up by 120,000 bpd from August.
Compliance within the cartel dropped to 82 percent, down from 88 percent in August. Libya and Nigeria are exempted from the deal, however, they have signaled to curb output to a level. Nigeria has agreed to limit production to 1.8 million barrels a day, the country’s total output during the month totaled at 1.77 million bpd.
U.S. crude ended Monday's session down $1.09, or 2.1 percent, at $50.58. The U.S. benchmark posted its strongest quarterly gain since the second quarter of 2016.
Brent crude, the global benchmark, was down 85 cents, or 1.5 percent, at $55.94 a barrel by 2:19 p.m. ET (1819 GMT). It notched up a third-quarter gain of around 20 percent, the biggest third-quarter increase since 2004 and traded as high as $59.49 last week.
Oil’s gains have been resultant of the worries fading over the supply glut that has taken out any positivity from oil prices in the last few years.
In February, oil industry sources said Saudi Arabia would like to see oil around $60 level.