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Oil prices extended losses on Thursday to reach six-week lows after reports that the United States has been reaching out to all major oil consumer nations to release their strategic petroleum reserves to temper rallying crude oil prices.
Brent crude futures for January delivery were down 39 cents, or half a percent, at $79.89 a barrel, after having hit as low as $79.28, the lowest since Oct. 7.
U.S. West Texas Intermediate crude futures for January delivery were down 53 cents, or 0.7 percent, at $77.02 a barrel.
It was reported that the Biden administration has asked big oil buyers like China, India and Japan to consider releasing crude stockpiles to help lower prices.
South Korea said it is reviewing the possibility of releasing its strategic oil reserves to bring down soaring energy prices.
China's State Reserve Bureau was working on a release of crude oil reserves, Reuters reported. China is the world's biggest importer or crude.
The U.S. and its allies have coordinated strategic petroleum reserve releases before, for example in 2011 during a war in OPEC member Libya.
The International Energy Agency and OPEC have said in recent weeks that more supply will be available in the next several months.
