Petroleum prices extended losses on Wednesday after U.S. government data showed a smaller-than-expected drop in stockpiles of U.S. crude as refineries hiked output.
Data from the U.S. Energy Information Administration (EIA) showed U.S. commercial crude oil inventories fell by 1.7 million barrels in the week through June 9. Analysts had expected a decrease of 2.7 million barrels.
As of mid-morning Wednesday, U.S. Brent crude was down $1.53 a barrel, or 3.1%, at $47.19. U.S. crude was $1.52, or 3.3 percent, lower at $44.94.
Gasoline stocks rose by 2.1 million barrels, compared with analysts' expectations for a 457,000-barrel drop. The EIA data revealed distillate stockpiles, which include diesel and heating oil, rose by 328,000 barrels, versus expectations for a 686,000-barrel increase.
U.S. crude imports fell last week by 481,000 barrels per day.
Crude prices have fallen more than 10% since late May, pulled down by heavy oversupply despite a move led by the Organization of the Petroleum Exporting Countries to curb production.
OPEC and other exporters such as Russia have agreed to keep production almost 1.8 million barrels per day below the levels pumped at the end of last year and not to increase output until the end of the first quarter of 2018.
