HOUSTON, July 7 (Reuters) - Exxon Mobil ( XOM ) signaled

on Monday that lower oil and gas prices could cut its

second-quarter earnings by about $1.5 billion from the previous

quarter's level.

The earnings snapshot from the largest U.S. oil producer is

closely watched for clues on how the broader oil sector will

fare when companies begin releasing quarterly results in a few

weeks.

Benchmark Brent crude prices averaged $66.71 per

barrel during the April to June quarter, an 11% decline from the

previous quarter, as more crude supply from the OPEC+ group of

producers weighed on prices. U.S. natural gas prices

declined 9% from the first quarter.

Exxon said in the regulatory filing that it will release the

final quarterly results on Aug. 1.

Wall Street expects Exxon to report adjusted earnings of

$1.53 per share for the second quarter, according to estimates

compiled by LSEG.

The company had posted $6.8 billion in upstream earnings for

the first quarter. Its total profit in that quarter was $7.71

billion.