LONDON, Feb 9 (Reuters) - The world will be storing unwanted oil for most of 2016 as declines in U.S. output are taking a long time to happen while OPEC is unlikely to cut a deal with other producers to reduce its ballooning production, the International Energy Agency said.

The agency, which coordinates energy policies of industrialised countries, said that while it did not believe oil prices could follow some of the most extreme forecasts and fall to as low as $10 per barrel, it was equally hard to see how they could rise significantly from current levels.

The IEA slightly trimmed its 2016 oil demand growth forecast which now stands at 1.17 million barrels per day following a five-year high of 1.6 million in 2015.

It also cut its call on OPEC crude for 2016 by 100,000 barrels per day to 31.7 million bpd. That figure is much lower than OPEC's January output of 32.63 million.

"Persistent speculation about a deal between OPEC and leading non-OPEC producers to cut output appears to be just that: speculation. It is OPEC's business whether or not it makes output cuts either alone or in concert with other producers but the likelihood of coordinated cuts is very low," the IEA said.

(Reporting by Dmitry Zhdannikov; editing by Jason Neely) ((Dmitri.Zhdannikov@thomsonreuters.com;))

Keywords: IEA OIL/