COVID-19 Latest
World|business|March 27, 2015 / 04:17 PM
Oil falls more than $1 a barrel today as Middle East supply fears ease

AKIPRESS.COM - oil production Oil prices fell more than $1 a barrel on Friday as worries receded over the threat of disruptions to Middle East supplies due to Saudi Arabia-led air strikes in Yemen, Reuters reports.

Goldman Sachs said the bombing of Yemen would have little effect on oil supplies as the country was only a small crude exporter and tankers could avoid passing its waters to reach their ports of destination.

North Sea Brent crude LCOc1 was down $1.05 at $58.14 a barrel by 0920 GMT after hitting an intraday low of $57.76. U.S. crude CLc1 was down $1.05 at $50.38 a barrel.

Oil jumped around 5 percent on Thursday, its biggest daily gain in a month, after air strikes in Yemen by Saudi Arabia and its Gulf Arab allies sparked fears that escalation of the Middle East battle could disrupt world crude supplies.

The Saudi-led coalition launched more air strikes on Friday against targets in the Yemeni capital of Sanaa, controlled by Shi'a Houthi fighters allied to Iran.

Worries over the possible impact of the geopolitical tensions on the Bab el-Mandeb Strait, the closure of which could affect 3.8 million barrels per day (bpd) of crude and product flows, put oil prices on track for weekly gains.

A bigger impact from the Middle East on oil prices might come from a potential nuclear deal with Iran, which could result in a loosening of Western sanctions against Tehran and rising exports of its oil reserves.

All rights reserved

© AKIpress News Agency - 2001-2024.

Republication of any material is prohibited without a written agreement with AKIpress News Agency.

Any citation must be accompanied by a hyperlink to akipress.com.

Our address:

299/5 Chingiz Aitmatov Prosp., Bishkek, the Kyrgyz Republic

e-mail: english@akipress.org, akipressenglish@gmail.com;

Follow us:

Log in


Forgot your password? - recover

Not registered yet? - sign-up

Sign-up

I have an account - log in

Password recovery

I have an account - log in