Oil prices fell about 5 percent to a two-month low as concerns about demand growth grew on a global stock market crash and after Saudi Arabia said it could pump more crude quickly if needed, easing fears ahead of US sanctions on Iran.
Brent crude futures fell 4.25 percent, or $ 3.39, to settle at $ 76.44 a barrel after falling 5 percent to their lowest level since September 7 at $ 75.88 a barrel.
US crude ended the session at $ 66.43 a barrel, down $ 2.93, after falling 5.2 percent to a session low of $ 65.74 a barrel, the lowest level since August 20.
The new US sanctions on Iran will begin on November 4 and Washington says it wants to halt Tehran's exports.
Saudi Energy Minister Khalid al-Falih said at an investment conference in Riyadh that the oil market was "in good shape" and Saudi Arabia hoped OPEC and other oil producers would sign an agreement in December to extend cooperation in monitoring and stabilizing the oil market.
The minister added that he would not rule out the possibility of Saudi Arabia's production increase between one million and two million barrels per day from current levels in the future.
