Brent crude rose 36 cents, or 0.45%, to $80.90 a barrel by 0912
GMT after touching $81.79. U.S. West Texas Intermediate crude
gained 60 cents, or 0.76%, to $79.41 after rising as high as
$80.17.
The OPEC+ group of major producers agreed on Thursday to stick
to their plan to raise oil output by 400,000 barrels per day
(bpd) from December, ignoring calls from U.S. President Joe
Biden for extra output to cool rising prices.
Top OPEC producer Saudi Arabia dismissed calls for speedier
increases from the Organization of the Petroleum Exporting
Countries (OPEC) and allies including Russia, collectively known
as OPEC+, citing economic headwinds.
The group has been restricting supply after the COVID-19
pandemic led to an evaporation of demand.
But with U.S. retail gasoline prices not far off $4 a gallon,
considered a pressure point for American drivers, the onus is on
the White House after Biden on Saturday urged major G20 energy
producers with spare capacity to boost output.
The White House said Washington would consider a full range of
tools at its disposal to guarantee access to affordable energy
after the OPEC+ meeting.
The focus will now shift to whether the United States and other
countries opt to release oil from strategic petroleum reserves (SPR),
UBS oil analyst Giovanni Staunovo said in a note.
"While such a decision would result in price setbacks, the SPR
can only fill the gap during temporary production disruptions
and not fix structural issues of underinvestment and rising
demand," Staunovo said. The bank expects Brent crude to continue
climbing to $90 a barrel over the coming months.
Oil prices recently touched seven-year highs but fell this week
after an increase in U.S. inventories and signs that high prices
could encourage higher production elsewhere.
Brent is on track for a weekly decline of nearly 4%, the second
straight week the contract has fallen. U.S. oil is heading for a
decline this week of nearly 5%.
(Additional reporting by Aaron SheldrickEditing by David
Goodman)
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