11.12.201703:39:00UTC+00Oil Edges Down on Increased U.S. Drilling Activity

Oil prices declined on Monday as last week's increase in the U.S. rig count indicated a further rise in production that could hurt efforts by OPEC along with other producers to rebalance markets.

U.S. WTI crude futures stood at $57.25 per barrel, trading down 11 cents or 0.2 percent from their last close. Brent crude futures traded down 15 cents or 0.2 percent at $63.25 per barrel.

The number of rigs actively drilling for new oil production in the U.S. increased by two in the latest week to 751, the highest number since September, General Electric Co.'s Baker Hughes said on Friday.

Increasing U.S. production threatens to undermine efforts by OPEC and a group of non-OPEC producers, such as Russia, to prop up prices by limiting supplies. OPEC and its allies began withholding supplies last January, and a decision was announced in November to continue doing so until the end of 2018. But there are lingering uncertainty over the reliability of this deal as well as over how drastically the group will boost output once the deal reaches its end.

A statement by Kuwait's oil minister that the producer cartel and other oil producers will review before June 2018 the possibility of ending their global oil-supply cut agreement also impacted prices, according to traders.