Stockpiles of petroleum in the U.S. fell less than expected last week, giving oil prices a small shove upwards.
Information released Wednesday by the U.S. Energy Information Administration revealed that crude stockpiles fell by 2.1 million barrels in the latest week, compared with analysts' expectations for an decrease of 2.7 million barrels.
Thus, Brent crude futures were up 26 cents at $79.29 U.S. a barrel by mid-morning Wednesday, having gained 1.3% on Tuesday following media reports that Saudi Arabia, the world's largest oil exporter, was comfortable with prices above $80.
U.S. crude futures were up 76 cents, or 1.1%, at $70.61 U.S., after gaining 1.4% the day before.
Elsewhere, the Organization of the Petroleum Exporting Countries and other producers including Russia meet on Sept. 23 in Algeria to discuss how to allocate supply increases within their quota framework to offset the loss of Iranian supply.
U.S. sanctions affecting Iran's oil exports come into force on Nov. 4. Although many buyers have scaled back purchases, it is unclear how easily other producers can compensate for any lost supply.
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