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Oil prices plunge again to 29.8 as Iraq confirms record output

Oil prices fell 3pc yesterday as Iraq announced record-high oil production feeding into a heavily oversupplied market, wiping out much of the gains made in one of the biggest-ever daily rallies last week.

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Brent Crude, the global benchmark, was down 90 cents at $31.28 a barrel by mid afternoon yesterday, losing 2.8pc from its closing price on Friday, when Brent surged 10pc.

US crude traded $1.07 lower at $31.12 a barrel.

The losses came despite news that oil producer group OPEC was evaluating holding an extraordinary meeting. Qatar's energy minister said a request for such a gathering was being discussed.

Oil prices remain near 12-year lows as global supply continues to outstrip demand.

Iraq's oil ministry told Reuters yesterday that output reached a record high in December. Its fields in the central and southern regions produced as much as 4.13 million barrels a day, the government said.

http://www.independent.ie/business/irish/oil-prices-plunge-again-as-iraq-confirms-record-output-34395559.html