Global oil prices slide back after sharp gains

The U.S. benchmark, Xinhua reported, West Texas Intermediate (WTI) crude for September delivery lost US$1.47 to settle at US$47.05 a barrel on the New York Mercantile Exchange.

Meanwhile, the global benchmark, Brent crude for October delivery, decreased US$1.72 to close at US$49.16 a barrel on the London ICE Futures Exchange.

Both the U.S. crude and Brent have added about 15 percent over the last seven sessions on speculation that Saudi Arabia and other members of the Organization of the Petroleum Exporting Countries (OPEC) will agree on a deal to freeze output with non-OPEC members led by Russia next month.

Oil prices came under pressure on Monday amid plans for higher Iraqi crude exports, a ceasefire between militants and the government in Nigeria and an increase in the U.S. oil rig count.

Iraq, OPEC's second-largest producer, will boost crude exports by 5 percent in the coming days after it agreed to resume shipments from three Kirkuk oil fields, media reported on Sunday.

Bloomberg reported that flows from the three northern Iraqi oil fields could rise by 150,000 barrels per day after a settlement of a payment dispute between the Kurdistan Regional Government and the central government.

Also, a militant group in Nigeria has declared a conditional cease-fire and agreed to talks with the government, following months of attacks on key oil and gas facilities.

In a weekend message posted on the Niger Delta Avengers website, the group said it would "observe a cessation of hostilities," provided that the country's ruling party halts what it called the harassment of innocent civilians.

Separately, U.S. oilfield services company Baker Hughes said on Friday that the number of rigs drilling for oil in the United States increased by 10 to 406 this week, marking the eighth consecutive weekly increase.  (Uu.A026) 

Editors: Fitri Supratiwi and Muhardi