OECD commercial oil inventories fell to 140 million barrels over their five-year average in October, according to Mohammad Barkindo, Secretary General of OPEC, in a speech given on Monday, Egypt Oil & Gas reports.
The decline represents a drop of 28% from July. According to OPEC figures, OECD commercial inventories were at 195 million barrels above the five-year average in July.
Since June, OECD stockpiles have shrunk by 50 million barrels, Barkindo said.
In a recent interview with Bloomberg, the CEO of Saudi Aramco, Amin Nasser, credited rising demand with rebalancing the market.
In addition to rising demand, production cuts have also drawn down global supplies. In January, OPEC and a several non-OPEC members agreed to cut collective production by 1.8 million barrels a day.
Brent crude prices have risen 12% this year, according to Bloomberg.