Russian Federation says too soon to talk of extending global oil output curbs

The EIA forecast USA crude production at an average 9.21 million barrels per day in 2017, up from the previous forecast of 8.98 million.

Futures slid as much as 1 percent in NY after falling 0.1 percent on Tuesday.

After just the second day of presentations at CERAWeek, Sheffield said he's seeing a profound thawing in the relations between the Organization of Petroleum Exporting Countries and shale producers. Government data Wednesday is forecast to show supplies climbed for a ninth week.

Compliance with the production curbs among top global oil producers should improve in February from January's level, Barkindo said. "Now all eyes will be on this afternoon's weekly EIA oil inventory report".

USA crude futures ticked up 0.1% to $53.25 a barrel, while Brent crude was flat at $55.99. Total volume traded was about 21 percent below the 100-day average.

But speaking at the CERAWeek conference in Houston, al-Falih said good-naturedly, "The green shoots in the US are growing too fast"; however, he stopped short of saying this automatically would mean an extension of the OPEC cuts, pointing out that the Saudis are undecided and a resolution will be made when ministers gather in May.

Oil prices softened on Monday as lower economic growth targets in China sparked renewed worries over excess supply, but escalating violence in North Africa underpinned the market.

Saudi Arabia's energy minister warned non-OPEC producers that the kingdom is not going to offer free rides to competitors, but struck a conciliatory message towards the USA political establishment Tuesday. Falih met his Russian counterpart, Alexander Novak, on Monday and the two voiced satisfaction with the deal so far.

Saudi Arabia had cut beyond what it had pledged in the agreement and brought the kingdom's output below 10 million barrels per day, he said.

Oil prices have been trading in a tight range of $5 over the last 60 days, amid concerns over the potential growth in US oil production.

Novak said Russia's Energy Ministry sees great interest from American companies on investing in the country. But we continue to expect a medium-term glut in liquefied natural gas to keep NBP prices subdued, with the rise in U.S. gas exports a key contributor to the anticipated overcapacity.

  • Zachary Reyes