Ample supplies, concerns over the pace of the U.S. recovery and a wobbly euro zone economy outweighed the prospect of stronger demand in Asia, dragging oil below $111 a barrel.
Brent crude rose above $111 a barrel in choppy trading on Monday, while U.S. crude prices fell as a pipeline leak in Arkansas threatened to increase the glut of oil in the U.S. Midwest.
Lukoil, Russia's second-largest crude oil producer, agreed to acquire small producer Samara-Nafta for $2.05 billion from Hess as part of a long-term strategy to stabilize falling oil output.
Israel moved closer to its goal of energy independence as natural gas from a large offshore field began flowing into the country, a harbinger of important change that will benefit the country.
Peak oil – the theory that fossil fuel supply will, at some point in the unspecified future peak, sending prices spiking – has now given way to peak demand.
Once attracting billions in private investment and public subsidies, enthusiasm over the solar sector has waned recently, underscoring the limits of renewable energies and the dominance of fossil fuels.
Exxon Mobil was working to clean up thousands of barrels of oil in Mayflower, Arkansas, after a pipeline carrying heavy Canadian crude ruptured, a major spill likely to stoke debate over transporting Canada's oil to the United States.
Brent crude eased under $110 a barrel on Monday after Chinese manufacturing data missed market expectations, signaling possibly slower oil demand growth in China.
Oil rose, underpinned by expectations of a revival in demand growth in the United States, the world's biggest oil consumer, while Europe's debt worries capped gains.
CNBC's Sharon Epperson discusses the day's activity in the commodities markets. Natural gas has more than doubled since April of last year and is at a 19-month high, she reports. Tomorrow's report could show a draw down of 83-87bcf, which would likely drive prices higher.
Natural gas has been on fire lately. On Wednesday, it hit the highest level since September 2011, and it's risen an incredible 113 percent since April.
So can nat gas keep running higher?
Oil slowly crept towards $110 a barrel in choppy trading on Wednesday, pressured by rising crude stockpiles in the U.S. and festering worries over the euro zone.