In the report, OPEC said world oil demand was expected to rise by 990,000 bpd this year, a cut of 230,000 bpd from its previous forecast, following downward revisions by other forecasters such as the USA government's Energy Information Administration.
West Texas Intermediate crude for March fell 0.5% to US$50.07 a barrel on the New York Mercantile Exchange as of 9.37am in Singapore after dropping as much as 1.5% earlier.
US gasoline stocks fell by 95,000 barrels in the week to 261.1 million barrels, the EIA said, compared with analysts' expectations in a Reuters poll for a 546,000-barrel rise.More news: Chinese GP postponed due to coronavirus as F1 seeks new date
The Opec oil cartel on Wednesday lowered its forecast for growth in global oil demand this year by almost a fifth due to the impact of the coronavirus outbreak in China.
"The recent outbreak of the coronavirus in China necessitated a further downward revision to the country's oil demand growth forecast compared to last month, as transportation fuels, notably aviation fuels, are expected to be impacted" in the first half of this year. The two biggest Chinese refiners have said they will reduce their processing by about 940,000 barrels per day (bpd) as a result of the consumption drop, or about 7 percent of their 2019 processing runs. "Companies such as Vitol, Shell and Litasco have been preparing to hire supertankers to store crude that would be otherwise destined for China". Both benchmarks are down more than 20 percent from highs reached in January.
A committee appointed by the Opec club of oil-producing countries and its allies to study the effects of coronavirus recommended additional output cuts on Saturday, Algeria's energy minister said.More news: Panthers owner David Tepper gives update on Cam Newton's future
Oil has dropped more than 25% from a peak in January with USA crude back below $50 a barrel after the spreading virus hit demand in China, the world's largest oil importer, and fueled concerns about excess global supplies.
However, Russia has been hesitant to commit to the additional cut, while Saudi Arabia wanted global major oil producers to agree a quick oil supply cut.
Official EIA data is due on February 12 at 10.30 a.m. EDT (1430 GMT).More news: South Africa fails to claim series win, Boucher rues missed opportunities