The end of the year is in sight and oil prices are lower than they have been in years with few signs of turning around. U.S. government released data that showed a continued stockpiling of crude and no significant slowdown in production is expected as 2016 rolls in.

While many analysts estimated a decline in inventory, the weekly Energy Information Administration data showed a jump of 2.6 million barrels of accumulation, while the American Petroleum Institute, an industry group, on Tuesday reported a 2.9 million barrel build-up of the crude.

The U.S. inventory report also showed an increase of 1.8 million barrels in distillates, including diesel fuel, and 900,000 barrels of gasoline. Building supplies of refined products suggests less demand for oil by refineries.

Front-month U.S. West Texas Intermediate crude futures settled down 3.35 percent, or $1.27, at $36.60 a barrel. Brent was down $1.34, or 3.5 percent, at $36.44 a barrel.

Saudi Arabia Keeps Pumping

The institute report was released at the same time that Saudi Arabia announced its intention of producing more oil even as it is being forced to cut back on domestic subsidies due to the impact of weaker crude prices on its budget.

Oil has collapsed below $37 a barrel compared to over $100 in mid-2014. OPEC's determination to keep pumping at its usual or even an increased pace, the global oil glut, and slowing demand from China and other countries have been pushing oil prices to new lows. Some analysts predict the price could settle as low as $20 but most believe it will hover around $50. The price of gas at the pump is expected to drop to $2.36 a gallon in 2016 from a high of $3.36 in 2014.