Oil prices have fallen but are expected to increase soon after four oil producers, including Russia, Saudi Arabia, Qatar, and Venezuela agreed to freeze output levels.

Brent futures LCOc1 slipped 35 cents at $33.93 a barrel, while the US crude CLc1 edged down by 36 cents to $30.41, Reuters reported.

Earlier this week, talks between Saudi Arabia and Russia on agreement to freeze output at January levels led to an increase in oil prices by more than 14%.

"The market is expecting continuing inventory builds."

Iraq Oil Minister Adel Abdul Mahdi said that discussions would continue between Organization of the Petroleum Exporting Countries (OPEC) and non-OPEC members to find ways to stabilise the market.

An increase in US crude stocks last week raised concerns over a persistent global oversupply.

Data revealed by the US Government’s Energy Information Administration highlighted a rise in crude stocks by 2.1 million barrels to 504.1 million.

Following recovery of prices at the back end of the WTI curve during the week, shale producers in the US are set to place new efforts to lock-in 2017 prices.

Mitsubishi oil risk manager Tony Nunan told the news agency: "The market is expecting continuing inventory builds."