London — Oil prices dipped on Thursday on worries about oversupply, but strong Chinese imports and signs that US storage tanks were gradually being drained offered some support. Brent crude fell 20c to $47.54 a barrel by 7.30am GMT and US light crude was down 15c at $45.34. Oil inventories remain near record levels in many areas despite efforts to control output over the past six months, and International Energy Agency’s chief economist Laszlo Varro said on Thursday that markets faced a supply surplus. "There is no doubt in the short term the market is oversupplied," Varro told Reuters in Tokyo, adding that this was partly because of rising output from Kazakhstan’s giant Kashagan oilfield. Opec cartel said on Wednesday that the world would need only 32.2-million barrels a day of its crude next year, down 60,000 barrels a day from this year and about 400,000 barrels a day less than it pumped in June. Opec said its output rose by 393,000 barrels a day in June to 32.611-million barrels...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.