Oil prices climbed on Wednesday, as the International Energy Agency (IEA) reported a surplus of crude supply was starting to decline.

The report said global oil demand grew very strongly year-on-year in the second quarter of 2017, by 2.4 percent. The demand growth of the Organization for Economic Cooperation and Development (OECD) continues to be stronger than expected, particularly in Europe and the United States.

Global oil supply fell in August due to unplanned outages and scheduled maintenance, mainly in non-OPEC countries, which is the first decline in four months.

However, U.S. data showed a big increase in crude inventories due to the ongoing effects of hurricane.

Crude oil inventories rose by a smaller-than-expected 5.9 million barrels in the Sept. 8 week to 468.2 million, 2.5 percent below their level a year ago, the Energy Information Administration (EIA) said in its weekly report Wednesday.

The West Texas Intermediate for October delivery was up 1.07 U.S. dollars to settle at 49.30 dollars a barrel on the New York Mercantile Exchange, while Brent crude for November delivery rose 0.89 dollar to close at 55.16 dollars a barrel on the London ICE Futures Exchange.