Oil prices tumble on Saudi comments, supply news

SINGAPORE, Feb 12 (Reuters) World oil prices fell by more than 1 percent on Monday, deepening earlier losses, after Saudi Oil Minister Ali al-Naimi was quoted as saying markets were healthier, and an industry source said a South Korean refiner would receive an increase in Saudi supplies next month.

U.S. light, sweet crude for March delivery fell as much as 82 cents in Globex electronic trading. By 0048 GMT, the contract was down 74 cents at .15 a barrel, while London Brent crude was off 67 cents at .34 a barrel.

OPEC may not need to cut or raise output when it meets in a month's time if current market conditions -- which are much healthier than before -- continue, the Wall Street Journal quoted Saudi Arabia's oil minister as saying in an interview.

Saudi state oil firm Aramco will increase crude supplies to at least one South Korean refiner next month, an industry source said on Monday. The refiner received notice of an 8 percent cut to March supplies, less than the 13 percent cut in February.

REUTERS DKS BST0637