US oil prices extend decline on crude inventory build

U.S. oil prices extended declines on Thursday after government data showed a surprise climb in U.S. crude inventories.

NYMEX crude for December delivery was down 2 cents at $52.16 a barrel by 0107 GMT, after ending the last session down 29 cents, or 0.6 percent.

London Brent crude for December delivery was down 1 cent at $58.43.

It settled Wednesday up 11 cents, supported by comments from Saudi Arabia’s energy minister on Tuesday reiterating the country’s determination to end a three-year supply glut.

Brent hit an intraday high of $58.74 on Wednesday, moving back towards a 26-month peak marked in late September.

U.S. crude inventories rose by 856,000 barrels last week, U.S. Energy Information Administration data showed on Wednesday. Analysts had expected a decrease of 2.6 million barrels.

Gasoline stocks fell by 5.5 million barrels, compared with expectations in a Reuters poll for a drop of 17,000 barrels, helping push up U.S. gasoline futures.

Distillate stockpiles, which include diesel and heating oil, fell by 5.2 million barrels, versus expectations for an 860,000-barrel drop, the EIA data showed. Source: Reuters