The Vienna-based oil cartel however added that the increase in production in Nigeria and Libya, was fuelling an oversupply, which has driven oil prices down by seven percent across the globe.
The research house reckoned that at US$50 a barrel level, it was enough for oil majors to restart their capex plans considering the lower cost of production and better efficiencies attained in recent times.
And OPEC's internal oil consumption more than tripled from 2.6 million bpd in 1980 to 9.0 million bpd in 2016. Jet fuel demand is up 10.7% compared to the same four-week period previous year.
The monitoring committee for the production cut deal is made up of Algeria, Kuwait, Venezuela, and two non-Opec countries - Russian Federation and Oman.
The price of a barrel of Brent crude has more than halved over the past five years, triggering an existential crisis for the world's biggest oil producers. The next step: conquering the export market. One city in Texas was named specifically.
"We're fairly in consensus of what our position is, there is no disagreement on that".
The average external break-even for oil and gas exporters was only US$20 to US$30 per barrel before the bull market in crude, which saw Brent hit an all-time high of nearly US$147.50 a barrel in mid-2008.
US crude imports fell last week by 282,000 bbl/d, while exports rose to 918,000 bbl/d from 768,000 bbl/d. Saudi Arabia consented to lessen creation by 486,000 barrels per day, under the arrangement came in December, the majority of any nation taking an interest in the cut.
OPEC Production was up last month but offset by the fact that NON-OPEC production was down.
"We sat with them and we had a very productive and very useful preliminary meeting with them", he said. The Saudi production increase was probably just a normal seasonal adjustment, he said.
"There is strong demand for our crude but we are sticking to our OPEC commitments", the source, who is familiar with the kingdom´s oil policy, said on Wednesday. It also highlighted a return to growth by for-export orders after contracting for most of the past two years.
After the collapse, operators started to be more efficient in the industry.
Kachikwu explained that while the oil production benchmark in the budget was 2.2 million barrels per day (mbpd), the country was producing about 1.7mbpd.
Oil futures rose more than 1 percent on Wednesday, but backed off session highs despite hefty drawdowns in U.S. crude and gasoline inventories as government data also showed stocks were still above average and demand lackluster.
American oil and gas companies have improved drilling methods and focused on their best wells in order to operate in a tough price environment.