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LONDON - OIL prices fell on Thursday, a day after sharp losses, as the market digested fresh evidence of slowing world energy demand.
On the New York Mercantile Exchange (NYMEX), light sweet crude for Dec delivery fell US$1.32 dollars to US$63.98 (S$94.90)a barrel.
Brent North Sea crude for December dropped US$1.13 to US$60.74 on London's InterContinental Exchange (ICE).
Oil prices tumbled by more than US$5 on Wednesday on NYMEX as US data showed demand falling in the world's biggest energy consuming nation, highlighting worries about a slowing global economy.
Prices have plunged in recent months as a global economic slowdown dampens demand for energy worldwide, coming off record highs above US$147 in Jul when fears of supply disruptions had sent them rocketing.
The International Energy Agency, however, says it expects the price of oil to rebound above US$100 and eventually reach US$200 by 2030.
In a report on the global energy outlook, the agency said it expected the price to average 100 dollars from 2008 to 2015.
But it forecast that in 2030 the price would stand at just above US$200, which after adjustment for projected inflation, was equivalent to more than US$120 in real dollar values.
The agency said the figures represented a major adjustment from its forecasts last year after a review of the outlook for production costs and demand.
A decline in oil prices gained momentum on Wednesday after US figures showed US gasoline (petrol) stockpiles had jumped 1.1 million barrels last week, confounding market expectations for a drop of 600,000 barrels.
Crude reserves held steady, instead of rising the 1.2 million barrels forecast by analysts.
US energy demand continued to decline as Americans consumed 6.7 per cent less crude in the past four weeks compared with the same period a year ago, the government data showed.
In a volatile week's trading, oil prices soared US$6 on Tuesday to above US$70 in New York as the US currency weakened against the euro and on evidence that Opec crude exporters were cutting production as promised, analysts said.
A weaker dollar makes oil priced in the US unit cheaper for buyers holding stronger currencies, pushing up demand.
The Organisation of the Petroleum Exporting Countries, which pumps about 40 per cent of the world's oil, said it would cut output by 1.5 million barrels per day from Nov 1 to counter falling prices.
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