Oil prices steadied yesterday, pausing for breath after coming under pressure over the past month from rising production in the US, Libya and Nigeria, which has taken the edge off an Opec-led initiative to support the market by cutting production.

Oil slipped under $46 a barrel yesterday after the Organization of the Petroleum Exporting Countries (Opec) reported that the group’s production climbed last month.

Saudi Arabia, the world’s largest oil exporter, has raised pricing for July sales of all crude grades to Asia, the US, and north-west Europe.

Opec and non-member oil producers have moved closer to clinching a deal on extending output cuts by nine months to clear a global stocks overhang and prop up the price of crude.

Oil may drop to as low as $40 a barrel, if US stockpiles increase, an industry analyst warned yesterday.

Oil prices were largely steady yesterday and looked set to finish the week with modest gains after losing almost 10% last week on concerns that an Opec production cut was failing to reduce a global supply overhang.

Oil fell below $45 in New York yesterday as an Organization of the Petroleum Exporting Countries (Opec) deal to curb output appeared in jeopardy after Iran and Saudi Arabia failed to bridge differences.

Oil climbed as Iraq’s oil minister said it pledged to co-operate with the Organization of the Petroleum Exporting Countries (Opec) to reach an agreement this week that’s acceptable to all members.

Oil prices jumped about 3% yesterday, with Brent hitting one-year highs, after Russia said it was ready to jointhe Organization of the Petroleum Exporting Countries (Opec) in curbing crude output and Algeria’s oil minister said he expected similar commitments from other non-Opec producers.

Crude oil futures pared gains yesterday after top producers Russia and Saudi Arabia confirmed they had agreed to co-operate on stabilising the oil market, including limiting output.

Crude oil prices advanced, extending the longest winning streak in more than a year, as US crude and petrol inventories declined.

Organization of the Petroleum Exporting Countries (Opec) will stick to its policy of unfettered production after members failed to agree on a new output ceiling, but ministers were united in their optimism that global oil markets are improving.

Oil traded near $49 a barrel in New York, yesterday, as Opec ministers arrived in Vienna for talks after prices rebounded from 12-year lows.

Saudi Arabian oil minister Ali al-Naimi, the architect of the 2014 switch in Opec policy that has since roiled the energy market, companies, and entire economies, is leaving his post.

Saudi Arabia, under growing pressure to account for a crush that killed more than 700 people at the hajj pilgrimage, suggested pilgrims failing to follow crowd control rules bore some blame for the worst disaster at the event for 25 years.