London — Oil rose on Monday, reversing earlier losses, after sources said the Organization of the Petroleum Exporting Countries (Opec) and its partners were considering extending their existing supply deal possibly into next year, which helped offset the bearish impact of more increases in US crude output. Brent crude was up 34c at $49.44 a barrel at 2.10pm GMT, having recovered from a session low of $48.65. US light crude was up 35c at $46.57 a barrel, up from an intraday low of $45.83. Industry sources and sources in Opec said the group and its non-Opec partners were considering an extension to the current deal, which comprises an output cut of 1.8-million barrels per day (bpd), for nine months or more. The efforts of Opec to reduce global oil inventories have been undermined by a surge in US drilling, which has knocked more than 10% off the price of oil in the last month. Opec meets on May 25, when it is expected to discuss prolonging the cuts to the end of 2017, although analyst...
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