* Despite pledge, OPEC and Russian oil supplies remain high
* Soaring U.S. output also weighs on market
* Global oil supply & demand balance: tmsnrt.rs/2s2OtVQ
By Henning Gloystein
SINGAPORE, June 16 Oil prices dipped early on
Friday and were not far off six-months lows as an ongoing supply
overhang weighed on markets despite an OPEC-led effort to cut
production and prop up prices.
Brent crude futures were down 6 cents, or 0.1
percent, at $46.86 per barrel at 0045 GMT.
U.S. West Texas Intermediate (WTI) crude futures were
down 8 cents, or 0.2 percent, at $44.38 per barrel.
Prices for both benchmarks are down by more than 13 percent
since late May, when producers led by the Organization of the
Petroleum Exporting Countries (OPEC) extended a pledge to cut
production by 1.8 million barrels per day (bpd) by an extra nine
months until the end of the first quarter of 2018.
The price falls are due to ongoing high supplies despite the
pledge to cut from within OPEC, and also because of rising
output from the United States.
"Oil production in the U.S. was ... higher (and) oil tanker
tracker data also suggests OPEC shipments remain strong," ANZ
High exports and production from other countries, including
Russia and the United States, are also contributing to the
Top producer Russia, not an OPEC-member but participating in
the deal, is expected to export 61.2 million tonnes of oil in
the third quarter (around 5 million bpd), against 60.5 million
tonnes in the second quarter, via pipelines, according to
industry sources and Reuters calculations.
Add in Russia's tanker shipments and its total exports are
likely above 9 million bpd.
In the United States, which is not participating in any deal
to hold back production, oil output C-OUT-T-EIA has risen over
10 percent over the past year to 9.3 million bpd, and the Energy
Information Administration (EIA) expects that figure to rise
above 10 million bpd in 2018.
In a sign of the ongoing supply overhang, traders are
increasingly hiring tankers again to store unsold crude, waiting
to sell later at a higher price.
(Reporting by Henning Gloystein; Editing by Richard Pullin)