Oil declines as Iraq agrees to boost exports amid global glut
Futures slid as much as 0.9 per cent in New York after climbing 9.1 per cent last week on speculation that Opec talks next month could lead to an output freeze. Iraq will increase crude exports by about 5 per cent in the next few days after an agreement to resume shipments from three oil fields in Kirkuk. US oil drillers added 10 rigs last week, extending the biggest and longest increases since April 2014, Baker Hughes Inc. data show.
Oil has climbed more than 20 per cent since it dipped below US$40 (RM160.52) a barrel earlier in the month, meeting the common definition of a bull market. Russian Energy Minister Alexander Novak said that the nation was open to discussing a freeze after his Saudi counterpart Khalid Al-Falih said that informal talks in September may lead to action to stabilise the market.
West Texas Intermediate for September delivery fell as much as 45 cents to US$48.07 a barrel on the New York Mercantile Exchange and was at US$48.23 at 7:21 a.m. in Tokyo. Futures rose 30 cents to settle at US$48.52 on Friday, capping 9.1 per cent of gains last week. Total volume traded was about 0.8 per cent below the 100-day average.
Brent for October settlement fell as much as 48 cents to US$50.40 a barrel on the London-based ICE Futures Europe exchange. The contract slipped 1 cent to close at US$50.88 a barrel on Friday. The global benchmark crude traded at a premium of US$1.75 to WTI for October.
Iraqi shipments will increase by about 150,000 barrels a day as exports resume from the Baba Gorgor, Jambour and Khabbaz fields, Fouad Hussein, a member of the oil and energy committee of the Kirkuk provincial council, said by phone yesterday. The three oil fields are operated by the state-run Northern Oil Co. but their export pipeline is controlled by the semi-autonomous Kurdistan Regional Government. — Bloomberg
Source : Malay Mail Online | All http://ift.tt/2b8lCKd
Today updated news promoted by Mukah Pages
Post a Comment