Oil prices drop amid supply worries

Oil prices went down Monday as markets worried that global supply would surpass demand.

The Energy Information Administration (EIA) reported Wednesday that U.S. crude stockpiles added 7.3 million barrels to 387.2 million barrels of the prior week ended Dec. 19, the highest level since June.

Stockpiles at Cushing, Oklahoma, the delivery point for U.S. crude, gained 1 million barrels to 28.8 million barrels.

There was no sign that producers would cut production in response to the slump.

The Organization of Petroleum Exporting Countries (OPEC) decided to maintain its collective output quota at 30 million barrels a day at the Nov. 27 meeting in Vienna, Austria.

Saudi Oil Minister Ali Al-Naimi said last week that as the largest producer of OPEC, his country would seek to maintain its market share.

"Whether it goes down to 20 dollar, 40 dollar, it is irrelevant, " Al-Naimi told the Middle East Economic Survey when asked what price would prompt OPEC to cut output.

Russia Energy Minister Alexander Novak said recently that crude output from Russia, the world's largest crude producer, will be similar to this year's 10.6 million barrels a day next year.

Light, sweet crude for February delivery lost 1.12 U.S. dollars to settle at 53.61 U.S. dollars a barrel on the New York Mercantile Exchange,while Brent crude for February delivery decreased 1.57 dollars to close at 57.88 dollars a barrel.