Brent oil prices rise after OPEC-led group announces 1.2 million bpd supply cut

Despite the announced cuts, Brent crude prices are almost 29 percent below their most recent highs in early October.

International oil prices rose on Monday, extending gains from Friday when producer club OPEC and some non-affiliated producers agreed a supply cut of 1.2 million barrels per day (bpd) from January. International Brent crude oil futures were at $61.81 per barrel at 0016 GMT, up 14 cents, or 0.2 percent, from their last close.

Prices surged on Friday after the Organisation of the Petroleum Exporting Countries (OPEC) and some non-OPEC producers including heavyweight Russia announced they would cut oil supply by 1.2 million bpd, with an 800,000 bpd reduction planned by OPEC-members and 400,000 bpd by countries not affiliated with the group.

U.S. West Texas Intermediate (WTI) crude futures were at $52.35 per barrel, 26 cents, or 0.5 percent, below their last close, weighed down as America’s booming oil drilling industry is not taking part in the announced cuts.