Oil steadies over $ 57, US fuel stocks seen healthy

SINGAPORE, Feb 2 (Reuters) Oil prices steadied above on Friday, after sliding the previous day on a smaller-than-expected drop in U.S. natural gas inventories that meant winter fuel supplies in the world's top consumer are still ample.

U.S. light crude for March delivery edged up 8 cents at .38 a barrel by 0424 GMT, after Thursday's 84-cent loss cut gains for the week to under four percent. London Brent crude moved 9 cents higher at .81 a barrel.

U.S. government data showed the country's natural gas stocks fell by 186 billion cubic feet (bcf) last week, below analysts forecasts for a larger draw due to cold weather.

This offset worries over a drop in U.S. heating oil stocks, as distillate consumption jumped by more than 10 percent from the previous week and given temperatures are forecast below normal in the next two weeks.

''Heating demand has increased dramatically, but the winter season will be over by the end of this month,'' said Tetsu Emori, an analyst at Mitsui Bussan Futures in Tokyo, also pointing to builds in gasoline inventories ahead of summer driving demand.

Though U.S. gasoline and crude stocks both rose more than expected last week, output cuts from the Organization of the Petroleum Exporting Countries (OPEC) helped shore up sentiment.

OPEC has pledged to cut output by half a million barrels per day (bpd) from Feb. 1 in addition to a 1.2 million-bpd cut from November.

Exports from OPEC producers will fall slightly in the four weeks to Feb. 17, but not enough to show that the group was fully abiding by its pledge to cut supply, shipping analyst Roy Mason of oil consultancy Oil Movements said on Thursday.

Analysts have said the cuts would put a lid on further rises in commercial crude stocks when demand falls in the Northern Hemisphere spring.

Exports from Iraq, an OPEC member but not bound by quotas, fell in January to 1.29 million bpd, the lowest in a year after maintenance and bad weather cut shipments from the country's main terminal, industry sources said on Thursday.

Supplies from non-OPEC Russia are only seen growing 2.1 percent this year, down from a previous growth forecast of 2.5 percent, the Russian energy minister said on Thursday.

Output problems from Nigeria could also bolster prices this year. Royal Dutch Shell said it expected militant attacks that have shut a fifth of the OPEC nation's output to continue.

REUTERS CS DS1114