Crude oilfor March delivery on the New York Mercantile Exchange slumped to a session low of $51.22 a barrel, a level not seen since January 19.
It was last at $51.77 by 3:10AM ET (08:10GMT), down 40 cents, or about 0.8%, after losing 84 cents, or 1.6%, a day earlier.
Elsewhere, Brent oil for April delivery on the ICE Futures Exchange in London shed 21 cents, or around 0.4%, to $54.84 a barrel, after falling to $54.44 earlier, the lowest since January 20. The global benchmark declined 67 cents, or 1.2%, in the prior session.
After markets closed Tuesday, the American Petroleum Institute said that U.S. oil inventories rose by a whopping 14.2 million barrels in the week ended February 3.
The API report also showed a gain of 2.9 million barrels in gasoline stocks, while distillate stocks rose 1.4 million barrels, highlighting continued builds in refined products seen as an overhang on the market.
The U.S. Energy Information Administration will release its official weekly oil supplies report at 10:30AM ET (15:30GMT) Wednesday, amid analyst expectations for a rise of 2.6 million barrels.