One of Russia's leading oil producers Lukoil said Russian Federation should start exiting the pact if crude prices remained at Dollars 70 per barrel for more than six months.
Expected growth in total USA crude supply was revised higher by 110,000 barrels a day to 820,000 a day, led by conventional production. Oil has been well supported around its three year highs recently as steady buying is emerging after the break above $60.
U.S. West Texas Intermediate (WTI) crude futures were at $64.25 a barrel, up 28 cents, or 0.4 percent, from their last settlement. Brent Crude Oil price at London's IСE Stock Exchange up by 0.84% to $69.59 per barrel.
But Rashidi believes that demand is still too high to suggest that more U.S. exports could hurt OPEC members' share of the market.
Prices. rallied on the back of noticeable de-stocking of crude inventories, said Fawad Razaqzada, market analyst at future brokerage Forex.com.
Oil prices ended higher on Wednesday ahead of the release of US petroleum data that was expected to show a ninth straight weekly drawdown in crude inventories.
The upside is now limited for oil prices.
The Organization of the Petroleum Exporting Countries and Russian Federation have been curbing production since January 2017; the cuts are set to last through 2018. In November, oil ministers from OPEC and non-OPEC member nations agreed to extend output cuts for the duration of 2018. OPEC lowered its forecast for shale-oil output by 1.1 percent from last month's report, to about 5.42 million barrels a day. "U.S. oil producers will ramp up production in the coming months".
Goldman Sachs is not ready to raise its $62 target on Brent and $57.50 forecast for US crude in 2018, but says there's a growing risk that global inventories will fall too quickly and push up prices.
The API data also showed a well supplied fuel product market, which could mean lower crude demand going forward.
USA crude inventories were estimated to have fallen 3.5 million barrels in the week ended January 12, according to a Reuters poll.
Official U.S. oil inventory and production data is due on Thursday from the Energy Information Administration (EIA).