US oil drillers cut rigs for a second week since January as crude prices have declined in recent months despite an Opec-led effort to cut production and end a multi-year glut.

Analysts, however, noted weekly declines in the rig count were likely just a brief pause in a drilling recovery expected to continue through at least 2019.

Drillers cut 1 oil rig in the week to July 21, bringing the total count down to 764, General Electric Co’s Baker Hughes energy services firm said in its closely followed report.

That compares with 371 active oil rigs during the same week a year ago. Drillers have added rigs in 54 of the past 60 weeks since the start of June 2016.

The rate of those additions, however, has slowed over the past few months with declining oil prices. Rig additions over the past four weeks averaged 2, its lowest since June 2016.

US crude futures were down almost 2 per cent this week to under $46 a barrel after Petro-Logistics forecast Opec production would rise in July.

Lingering worries about global oversupply have knocked around 15 per cent off US crude futures so far this year, despite a deal involving the Organization of the Petroleum Exporting Countries and other major producers to curb output.

Analysts said those Opec-led efforts have been frustrated by increased drilling activity and rising output from US shale drillers and other producers.