* Brent set for biggest weekly fall since 1991 Gulf War
* Virus outbreak means fewer travel, slower business
* Saudi, UAE offer more crude in oversupplied market
* Coming Up: Weekly U.S. rig count at 1 p.m. (1700 GMT)
* Interactive graphic on pandemic: https://tmsnrt.rs/2GVwIyw (Updates prices, market activity, adds commentary; changes byline, dateline, previous LONDON)
NEW YORK, March 13 (Reuters) - Oil prices were lower on Friday, with Brent crude on track for its biggest weekly slide in nearly three decades as the coronavirus outbreak threatened the global economy and Saudi Arabia stepped up plans to flood markets with more crude oil.
Brent crude lost 11 cents to $33.11 a barrel by 12:11 p.m. EDT (1611 GMT), after rising to a session high of $35.78. The global benchmark was set to fall by nearly 27% for the week, the biggest weekly fall since the 1991 Gulf War.
U.S. West Texas Intermediate (WTI) crude futures fell 25 cents, or 0.8%, to $31.27 a barrel, after earlier gaining to $33.87 a gallon. WTI was on track for a weekly drop of about 24%, its steepest drop since the 2008 financial crisis.
World stocks were also set for their worst week since 2008, with the coronavirus sparking panic selling across markets. The virus has infected at least 127,000 and killed 4,700 worldwide, disrupting business, markets and daily life.
Adding to pressure on oil prices, major oil producers were pumping more crude into the market as demand collapses. Saudi Arabia has chartered more than 30 crude supertankers to export oil in coming weeks, specifically targeting big refiners of Russian oil in Europe and Asia, in an escalation of its fight with Moscow for market share.
Hopes for a U.S. stimulus package that could ease an economic shock from the coronavirus provided some support to the oil and stock markets on Friday.
"There's hope that all the stimulus will stabilize the economy and offset some of the concerns about weaker demand and keep parts of the economy strong enough to support oil prices," said Phil Flynn, analyst at Price Futures Group in Chicago.
Goldman Sachs said it now expected a record high oil surplus of six million barrels per day (bpd) by April, in a global market that usually consumes about 100 million bpd.
Saudi Arabia, the world's largest exporter, and the United Arab Emirates offered more oil to customers after OPEC's talks with Russia and others on supply restraint collapsed last week.
Russia, the world's second-largest producer, has shown no interest in agreeing to further output curbs with the Organization of the Petroleum Exporting Countries.
Russian oil producers met Energy Minister Alexander Novak on Thursday but did not discuss a return to the deal. The head of Gazprom Neft said it planned to hike production in April, following the talks.
"It's a problem of an oil price war in the middle of a constricting market when the walls are closing in," U.S. energy historian Daniel Yergin said.
A Reuters survey showed analysts slashed their forecasts of Brent crude prices to $42 a barrel on average in 2020, compared with the $60.63 consensus in a February poll.
But the price slump may reduce some supply, by forcing out more costly producers.
Energy companies in the United States, which has surged to become the world's biggest crude producer because of a boom in pricier shale oil, are preparing to cut investment and drilling plans due to plunging prices.
The latest weekly data on the U.S. drilling rig count is due at 1 p.m.
(Additional reporting by Ron Bousso in London and Aaron Sheldrick in Tokyo; Additional reporting by Jane Chung in Seoul; Editing by Marguerita Choy and David Evans)