U.S. oil tumbled 4 percent on Friday after the Saudi deputy crown prince reportedly said the kingdom will not freeze production unless Iran and other major producers do so.
Futures slightly pared losses after oilfield services firm Baker Hughes reported its weekly count of oil rigs operating in the United States fell by 10 to a total of 362. At this time last year, drillers had 802 rigs in U.S. oil fields.
The dollar's first rebound in a week after stronger-than-expected U.S. jobs data added pressure on oil, making crude prices denominated in the greenback less attractive for holders of the euro and other currencies.
U.S. employment increased solidly in March and wages rebounded, signs of economic strength that could allow a cautious Federal Reserve to raise interest rates gradually.
"I think (the payrolls report) is probably what's sent us over the edge in oil," CMC markets analyst Jasper Lawler said.