Oil prices dropped on concerns over the global oil oversupply. Concerns over the slowdown in the Chinese economy also weighed on oil prices. Li Pumin, spokesman for China's National Reform and Development Commission (NDRC), said on Tuesday that China achieved its main economic targets in 2015. The economy likely expanded 7.0% in 2015. Official fourth-quarter and full-year 2015 figures will be released on Monday.

Some OPEC members called for an emergency meeting. But there are no plans for a meeting.

Assem Jihad, a spokesman for the Iraqi Oil Ministry, said on Monday that oil prices will decline further if oil producing countries do not cut oil output. He noted that Iraq plans to cut its oil output to 3.6 million barrels per day from 3.8 million, adding that the country's oil revenues dropped by 70%.

WTI crude oil for February delivery declined to $30.39 a barrel on the New York Mercantile Exchange.

Brent crude oil for February fell to $30.54 a barrel on ICE Futures Europe.