Crude oil rose to an eight-day high as the

Organization of Petroleum Exporting Countries

signaled its resolve to support prices by

reducing supplies.

The 11 members of the OPEC bound by quotas

will cut supplies 3.8 percent to 25.3 million

barrels a day in February, according to

consultant PetroLogistics Ltd. The group may cut

production further when it meets next on March

15, Algerian oil minister Chakib Khelil said.

Oil supply from 11 OPEC members will average

25.3 million barrels a day in February, down

from 26.3 million barrels a day in January,

Conrad Gerber, founder of PetroLogistics, said

today. Members have a quota of 24.845 million

barrels a day.


Iran, Venezuela and Iraq said last week that OPEC

is prepared to cut production again when it meets

on March 15. The group agreed Dec. 17 on output

constraints that would reduce supplies in January

by 2.2 million barrels a day from December levels.

That followed pledges to remove 2 million barrels

a day in the fourth quarter of last year.