UPDATE 9-Oil dives 3 pct after OPEC delays output decision

* OPEC ends meeting with no output cuts announced

* OPEC, Russia to discuss potential supply cut on Friday

* GRAPHIC-OPEC, U.S. & Russia output: https://tmsnrt.rs/2E0xgTz

* U.S. turns into net exporter of oil (New throughout, updates prices, market activity and comments)

By Devika Krishna Kumar

NEW YORK, Dec 6 (Reuters) - Oil fell about 3 percent inchoppy trading on Thursday after OPEC and allied exportingcountries ended a meeting without announcing a decision to cutcrude output, and prepared to debate the matter the next day.

The Organization of the Petroleum Exporting Countries (OPEC)met in Vienna to decide production policy in coordination withother countries including Russia, Oman and Kazakhstan.

OPEC tentatively agreed to cut oil output but was waitingfor a commitment from non-OPEC heavyweight Russia beforedeciding volumes. urn:newsml:reuters.com:*:nL8N1YB1II

Russian Energy Minister Alexander Novak flew home fromVienna earlier for talks with President Vladimir Putin in SaintPetersburg. Novak returns to Austria's capital on Friday fordiscussions among Saudi-led OPEC and its allies.

Saudi Energy Minister Khalid al-Falih said OPEC neededRussia to cooperate, and said a decision was likely by Fridayevening. urn:newsml:reuters.com:*:nL8N1YB17A

"If everybody is not willing to join and contribute equally,we will wait until they are," al-Falih said.

Market watchers had expected a joint cut of 1 million to 1.4million barrels per day (bpd).

Brent crude futures LCOc1 were down $1.74, or 2.8 percent,on the day to $59.82 a barrel by 1:53 EST (1853 GMT), off thesession low of $58.36. U.S. crude futures fell $1.60, or 3percent, to $51.29 a barrel, bouncing off the session low of$50.08 a barrel.

The crude benchmarks have slumped more than 25 percent sofar this quarter.

Prices found support after data showed U.S. crude stockpilesdeclined last week for the first time in 11 weeks. The UnitedStates became a net exporter of crude and refined products forthe first time since at least 1991, data from the U.S. EnergyInformation Administration (EIA) showed. EIA/S

"Fears of a further escalation in the US-China trade war,and potential for OPEC+ not cutting oil production deep enoughwill continue to weigh on oil prices in today's tradingsession," said Abhishek Kumar, Senior Energy Analyst at InterfaxEnergy in London.

"All eyes are now fixated on tomorrow's OPEC+ jointdeclaration, and a combined output cut of at least 1 millionbarrels per day will be required to see a meaningful recovery inoil prices."

OPEC's crude oil production PRODN-TOTAL has risen by 4.1percent since mid-2018, to 33.31 million bpd.

European equities hit their lowest in two years.Commodity-sensitive currencies such as the Russian roubletumbled on sliding oil prices and the arrest of a top executiveof Chinese tech giant Huawei in Canada for extradition to theUnited States, just ahead of crucial trade negotiations betweenWashington and Beijing.

Barclays said in its Global Outlook that "investors need tolower their expectations" and "2019 should be a period of lowerreturns and higher volatility". It forecast that the globaleconomy would "slow over the next several quarters" although itadded that "not one major economy is near recession."

U.S. crude inventories have climbed as domestic productionsurged. U.S. crude exports jumped last week to a record 3.2million barrels per day. Stockpiles at Cushing, Oklahoma,delivery point for U.S. crude futures, rose to the highest innearly a year.

Ann-Louise Hittle, vice president, macro oils at WoodMackenzie, said world oil demand growth is expected to averageclose to 1.1 million barrels per day in 2018 and 2019.

"This sits against a backdrop of rapid non-OPEC productiongrowth ... the strength in non-OPEC production creates pressureon OPEC to curtail its output for 2019 from recent levels, ifoil prices are to remain stable," Hittle said.

GRAPHIC-OPEC, Russia & U.S. crude oil production   https://tmsnrt.rs/2QdhkVc
GRAPHIC-U.S. turns into net exporter of oil   https://tmsnrt.rs/2Rz57Xn
(Additional reporting by Amanda Cooper, Christopher Johnson inLONDON and Henning Gloystein in SINGAPORE; Editing by KirstenDonovan and David Gregorio) ((devika.kumar@thomsonreuters.com; +1 646 223 6059; ReutersMessaging: devika.kumar.thomsonreuters.com@reuters.net))

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