Business & Investment

Crude oil prices rise due to supply concerns

Oil futures, which rose due to supply concerns, rose on Monday as Iraq planned to cut production and Libya saw turmoil in crude oil exports due to a wage dispute.

West Texas Intermediate Crude Oil
+ 0.38%

+ 0.38%

March deliveries were $ 52.37 a barrel on the New York Mercantile Exchange, up 10 cents (0.2%).March Brent Crude
+ 0.49%

+ 0.49%
The global benchmark was up 11 cents (0.2%) at ICE Futures Europe to $ 55.52 a barrel.

Iraq plans to produce 3.6 million barrels of oil a day in January and February. According to news reportsThis is below the 3.86 million barrels per day allowed under the agreement of OPEC +, a group known as OPEC + and its allies. Deeper reductions are aimed at supplementing national overproduction in 2020.

“If Iraq can reduce production to these levels, it will be the lowest production since 2015,” said Warren Patterson, head of product strategy at ING. “But given the record that Iraq has failed to cut production, there is no guarantee that they will reach this goal.”

in the meantime, Reuters reported The Libyan Oil Facility Guard has suspended all oil exports from the ports of Raslanuf, Essider and Hariga due to wage disputes.

Libya had previously seen an “exceptional” recovery in oil production, Patterson said, producing less than 100,000 barrels a day in August and then more than 1.2 million barrels a day in December. Reached.

Crude oil prices rise due to supply concerns Crude oil prices rise due to supply concerns

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