SINGAPORE, Jan 11 Oil slumped 2 percent to a 19-month low under $ 53 a barrel on Thursday

SINGAPORE, Jan 11 (Reuters) Oil slumped 2 percent to a 19-month low under $53 a barrel on Thursday after news of Saudi compliance with OPEC cuts failed to staunch a wave of selling that gained fresh legs after a big build in U.S. fuel stocks.

Saudi Arabia informed Asian refiners on Wednesday that it would deepen their supply curbs in line with OPEC's Feb. 1 output cut, but the reduction was largely expected and may be too little to offset the effects of an exceptionally warm winter.

U.S. light crude for February delivery fell as much as $1.08 a barrel to drop below $53 for the first time since June 2005, deepening the previous day's $1.62 drop and touching a new 19-month low for the third session running.

By 0422 GMT prices were 92 cents lower at $53.10 a barrel, under added pressure after the crude contract on Japan's main commodities exchange fell by its daily limit and technical selling after prices broke through the key $55 support.

London Brent crude was down 94 cents at $52.75.

Prices plunged 2.9 percent on Wednesday after U.S. data showed a bigger-than-expected 5.4 million-barrel rise in weekly distillate stocks last week as mild weather reduced heating fuel demand sharply in the world's top consumer.

''We're in the third week of counter-seasonal product stock-building,'' said UBS analyst Jan Stuart. ''(Product stocks) are high now by any measure: 35 million barrels above the five-year average versus parity in mid-December.'' Fuel data overshadowed a 5 million-barrel decline in crude stocks, indication that OPEC's previous cuts were taking effect.

The market was also pressured by news that oil flows had resumed along the Druzhba crude pipeline from Russia after a dispute with Belarus was resolved, ending a three-day stoppage that had affected a tenth of Europe's crude supplies.

SAUDI CUTS Oil has fallen by nearly 13 percent so far this year as a bleak short-term outlook due to extraordinarily balmy winter weather drives short selling, while fears that the market may have passed its peak has prompted some investors to shed length.

State oil firm Saudi Aramco has told its Asian customers that it will reduce exports by some 10-13 percent below normal volumes for February, a deeper cut than January's 8-9 percent, but traders were unimpressed with the depth of the cuts.

''This is part of their strict adherence to OPEC's decision,'' said Ken Hasegawa, manager at the International Business Department at Himawari CX.

''What we have to focus on is whether there will be additional cuts due to a decline in crude prices.'' OPEC's president has initiated talks with other members about possible action, but many analysts say the cartel may have to wait to see what effect the February cuts have before taking new steps.

The cartel's next scheduled meeting is in mid-March.

REUTERS CS RS1143