Oil slips lower as Russia restarts flows via Druzhba pipeline
Physical oil prices have fallen internationally, reflecting easing concerns over Russian-led supply disruptions and worries of a global economic slowdown
11 August 2022 - 08:13
byLaura Sanicola and Muyu Xu
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Singapore — Oil prices slipped in Asia on Thursday after gaining more than $1 in the previous session, as concerns over supply disruptions eased and markets looked for evidence of improving fuel demand.
Brent crude futures dipped 18c, or 0.2%, to $97.22 a barrel by 4.19am GMT, while US West Texas Intermediate (WTI) crude futures fell 22c, or 0.2%, to $91.71.
Oil is struggling to find direction, suggesting investors have not reached consensus on the outlook for supply and demand, analysts from Haitong Futures said.
US crude oil stocks rose by 5.5-million barrels in the most recent week, the US Energy Information Administration (EIA) said, more than the expected increase of 73,000 barrels.
Gasoline product supplied rose in the most recent week to 9.1-million barrels per day, though that figure still shows demand down 6% over the past four weeks compared with the year-ago period.
The premium for front-month WTI futures over barrels loading in six months’ time was pegged at $4.38 a barrel on Thursday, the lowest in four months, indicating easing tightness in prompt supplies.
The resumption of flows on the Russia-to-Europe Druzhba pipeline further calmed market worries over global supplies.
Russian state oil pipeline monopoly Transneft restarted oil flows via the southern leg of the Druzhba oil pipeline. Ukraine had suspended Russian oil pipeline flows to parts of Central Europe since early this month because Western sanctions prevented it from receiving transit fees from Moscow, Transneft said on Tuesday.
Meanwhile, physical oil prices around the world have begun to sag alongside futures, reflecting easing concerns over Russian-led supply disruptions and heightened worries about a possible global economic slowdown.
Monthly oil reports from the International Energy Agency (IEA) and oil cartel Opec are expected later on Thursday.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Oil slips lower as Russia restarts flows via Druzhba pipeline
Physical oil prices have fallen internationally, reflecting easing concerns over Russian-led supply disruptions and worries of a global economic slowdown
Singapore — Oil prices slipped in Asia on Thursday after gaining more than $1 in the previous session, as concerns over supply disruptions eased and markets looked for evidence of improving fuel demand.
Brent crude futures dipped 18c, or 0.2%, to $97.22 a barrel by 4.19am GMT, while US West Texas Intermediate (WTI) crude futures fell 22c, or 0.2%, to $91.71.
Oil is struggling to find direction, suggesting investors have not reached consensus on the outlook for supply and demand, analysts from Haitong Futures said.
US crude oil stocks rose by 5.5-million barrels in the most recent week, the US Energy Information Administration (EIA) said, more than the expected increase of 73,000 barrels.
Gasoline product supplied rose in the most recent week to 9.1-million barrels per day, though that figure still shows demand down 6% over the past four weeks compared with the year-ago period.
The premium for front-month WTI futures over barrels loading in six months’ time was pegged at $4.38 a barrel on Thursday, the lowest in four months, indicating easing tightness in prompt supplies.
The resumption of flows on the Russia-to-Europe Druzhba pipeline further calmed market worries over global supplies.
Russian state oil pipeline monopoly Transneft restarted oil flows via the southern leg of the Druzhba oil pipeline. Ukraine had suspended Russian oil pipeline flows to parts of Central Europe since early this month because Western sanctions prevented it from receiving transit fees from Moscow, Transneft said on Tuesday.
Meanwhile, physical oil prices around the world have begun to sag alongside futures, reflecting easing concerns over Russian-led supply disruptions and heightened worries about a possible global economic slowdown.
Monthly oil reports from the International Energy Agency (IEA) and oil cartel Opec are expected later on Thursday.
Reuters
Oil slips on rising US crude supplies
Oil holds on to biggest gains in more than a week
Prices of oil slip as Druzhba pipeline is expected to flow again
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