Further gains in oil prices were recorded in the middle of July and leading blends were quoted at their highest levels for a year, traders said.
The price of dated Brent hit $18.27 a barrel on 13 July and light crude for delivery in August traded at $20.55 a barrel on the same day. The rise in prices was mainly due to a strike by Nigerian oil workers in support of demands for the restoration of democracy.
Traders said that disruption of trade was minimal on 13 July. However, this strike prompted panic buying in the market.
Oil prices are about 40 per cent higher than they were at the start of 1994. However, the market does not expect further big price rises. Analysts say that Saudi Arabia is signalling that it is prepared to intervene to prevent oil prices rising much above $20 a barrel. The market is also expecting the resumption of at least some Iraqi crude oil export later in the year.
You might also like...
Oman receives Madha industrial city tender prices
19 April 2024
Neom seeks to raise funds in $1.3bn sukuk sale
19 April 2024
Saudi firm advances Neutral Zone real estate plans
19 April 2024
Algeria signs oil deal with Swedish company
19 April 2024
A MEED Subscription...
Subscribe or upgrade your current MEED.com package to support your strategic planning with the MENA region’s best source of business information. Proceed to our online shop below to find out more about the features in each package.