Crude prices continue to slide as economic slowdowns on both sides of the Atlantic boost fears of lower oil demand.
Traders are worried by leadership changes in the eurozone and disappointing US jobs numbers.
The price of Brent crude is at a three month low and it has fallen around six percent just since the start of this month.
US light crude is at its lowest since late December.
Also in the mix are ample supplies from major oil producers.
Saudi Arabi’s Oil Minister Ali al-Naimi says the world’s biggest exporter is pumping around 10 million barrels per day – near its highest in decades – and is building up stocks in case of any disruption in supplies.
OPEC is concerned recent very high oil prices could hit consumption and slow global economic activity.
Analysts say the resumption of talks between Iran and the West over Tehran’s nuclear programme have helped ease geopolitical tensions and cut the risk premium built into oil prices.
Crude oil stocks in the US are at their highest since 1990 and forecast to rise, indicating faltering demand in the world’s top oil user.