02:23 PM EST, 12/11/2024 (MT Newswires) -- Commercial crude stockpiles in the US fell more than projected last week, government data showed Wednesday, while oil prices climbed even as the Organization of the Petroleum Exporting Countries lowered demand forecasts for 2024 and 2025.

Inventories of crude, excluding the strategic petroleum reserve, dropped by 1.4 million barrels to 422 million barrels through the week ended Friday, the Energy Information Administration said. The consensus was for a decrease of 1.1 million barrels, according to a Bloomberg poll. Inventories were 6% below the five-year average for this time of year.

Propane and propylene inventories declined by 3 million barrels last week. Total motor gasoline stocks climbed by 5.1 million barrels while distillate fuel added 3.2 million barrels. Total commercial petroleum inventories were down 900,000 barrels last week, the EIA's data showed.

Gasoline production increased to 10 million barrels per day last week, from 9.5 million barrels the week prior. Distillate fuel output edged down to 5.2 million barrels per day from 5.3 million barrels.

Crude refinery inputs averaged 16.7 million barrels per day last week, which was 251,000 barrels less than the previous week's average. Refineries operated at 92.4% of their capacity, down from 93.3% the week prior.

West Texas Intermediate crude oil climbed 1.9% to $69.92 in afternoon trade while Brent was up 1.5% at $73.30. In its monthly oil market report released Wednesday, the OPEC lowered its demand-growth forecasts for 2024 and next year.

On Thursday, certain members of the OPEC and its allies, dubbed as the OPEC+, extended voluntary oil production cuts to support "market stability." ING said Wednesday that it still expects the oil market to be in surplus in 2025, which "should see prices trending lower next year."

The US is reportedly considering new sanctions on Russia's oil trade.