Saudi Arabia, the world's top oil exporter, has told some of its Asian customers that it will reduce their crude supplies slightly in February. Oil markets snapped declines and edged higher for the first time in three days on Wednesday following the news.

However, analysts remain skeptical about the implementation of OPEC deal. There is still doubt among many market watchers over whether the planned cuts will be enough to rebalance a market that has been oversupplied for the past two years.

OPEC agreed in November to cut output by 1.2 million barrels per day from January 2017 to support prices. Since January 1st, we have seen initiations from many countries. Iraq's Oil Minister Jabar Ali al-Luaibi announces oil output cut of 160K bpd under OPEC production cut deal. Separately, Kazakhstan also slashed its oil output by 20k bpd to fall in line with the OPEC deal.

OPEC ministers are holding a meeting in Abu Dhabi this Friday, OPEC’s Secretary-General Mohammed Barkindo said on Tuesday.

Brent crude futures were up 52 cents at $54.16 a barrel by 0950 GMT, while U.S. West Texas Intermediate crude futures were up 44 cents at $51.26 a barrel.