Translate
12 December 2017
Brent crude oil prices jumped above $65 per barrel for the first time since 2015
Brent Crude Jumps Above $65 For 1st Time Since 2015 After North Sea Pipeline Outage
Pic: ReutersSINGAPORE: Brent crude oil prices jumped above $65 per barrel for the first time since 2015 after the shutdown of the Forties North Sea pipeline knocked out significant supply from a market that was already tightening due to OPEC-led production cuts.
Brent crude futures LCOc1, the international benchmark for oil prices, were at $65.29 a barrel at 0253 GMT, up 60 cents, or 0.9 percent, from their last close.
That marks the first time Brent has risen above $65 since June, 2015.
U.S. West Texas Intermediate (WTI) crude futures CLc1 were at $58.30 a barrel, up 31 cents, or 0.5 percent, from their last settlement.
“Brent crude raced higher ... as news broke that the North Sea’s Forties Pipeline system would have to be shut down for a ‘number of weeks’ after a hairline crack was found in it,” said Jeffrey Halley, senior market analyst at futures brokerage OANDA in Singapore. “The pipeline ... is a significant component underpinning the Brent benchmark.”
Britain’s Forties oil pipeline, the country’s largest at a capacity of 450,000 barrels per day (bpd), shut down on Monday after cracks were revealed.
“The market reaction shows that in a tight market, any supply issue will quickly be reflected in higher prices,” said ANZ bank.
GOING WIDE
The jump in Brent prices widened its premium to WTI prices to almost $7 a barrel, up from around $5 last week, making U.S. oil exports more attractive.
The cheaper WTI is also a result of rising U.S. oil production, which has jumped by more than 15 percent since mid-2016 to 9.71 million bpd, levels not seen since the early 1970s.
U.S. production is now also not far off that of top producers Russia and Saudi Arabia.
The rising U.S. output threatens to undermine efforts led by the Organization of the Petroleum Exporting Countries (OPEC) and a group of non-OPEC producers, most importantly Russia, to support prices by withholding supplies.
OPEC and its allies started withholding supplies last January and currently plan to continue doing so throughout 2018.
-Reuters
Popular Posts - Last 7 days
-
Dua buah helikopter milik Angkatan Tentera Malaysia (ATM) dilaporkan terhempas ketika menjalani raptai di Kem Tentera Laut Diraja Malaysi...
-
Abdul Rahman lepas jawatan dalam CIMB Group, terajui semula PNB Bernama April 16, 2024 Abdul Rahman merupakan Ketua Pegawai Eksekutif Kumpu...
-
Dua helikopter TLDM bertembung semasa Latihan Lintas Hormat Sambutan Hari Ulang Tahun TLDM Ke-90. Pesawat HOM (M503-3) yang membawa tujuh or...
-
PM Anwar tubuh Jawatankuasa Penasihat Dasar Kepada Perdana Menteri - PMO Bernama 22/04/2024 PM Anwar tubuh Jawatankuasa Penasihat Dasar Ke...
-
TOP 100 AIRPORTS https://www.worldairportawards.com/worlds-top-100-airports-2024/
-
70 PCT OF PROPERTY DEVELOPMENT IN FOREST CITY SOLD - EXCO 20/04/2024 KULAI, April 20 (Bernama) -- Seventy per cent of the property develop...
-
The Royal addendum order from the 16th Yang di-Pertuan Agong, which would allow Datuk Seri Najib Razak to go under house arrest, does exi...
-
KL20 Summit 2024 to attract high-quality investments - PM Bernama 22/04/2024 PM Datuk Seri Anwar Ibrahim said the summit marks a comprehens...
Popular Posts - Last 30 days
-
Saudi says application for 1444 H umrah visa opens from today Bernama Julai 14, 2022 The Ministry of Haj and Umrah of Saudi Arabia has ann...
-
Kedah MB: ECK no longer part of Kulim airport project Bernama Julai 13, 2022 Muhammad Sanusi announced that the ECK Group of Companies (EC...
-
King presents appointment letters to four new envoys Bernama Julai 12, 2022 His Majesty presenting the letter of appointment to M'sian...
-
Wan Saiful confirms he is no longer PTPTN chairman Bernama Julai 12, 2022 Bersatu Information chief Datuk Wan Saiful Wan Jan today confirm...
-
Following is BEST FBKL's selection of The Top Ramadan 2024 Buka Puasa Buffet's in Kuala Lumpur and the Klang Valley. We hope that y...
-
Naz Empire's defamation lawsuit against Awal Ashaari to go to trial as mediation fails Bernama Julai 12, 2022 The defamation lawsuit f...
-
Paris court grants Malaysia's application to suspend claims by purported heirs of Sultan Jamalul Kiram II Bernama Julai 13, 2022 Dr Wa...
-
‘Alas pintu’ dengan gambar Kaabah sebenarnya sejadah mini - AEON BiG April 13, 2024 Susulan penularan gambar yang mendakwa penjualan ‘alas ...
-
Seven million Malaysians yet to take booster dose against COVID-19 - PM Bernama Julai 11, 2022 Prime Minister Datuk Seri Ismail Sabri Yaako...
Blog Archive
-
►
2023
(3771)
- December (311)
- November (322)
- October (286)
- September (288)
- August (365)
- July (349)
- June (372)
- May (316)
- April (279)
- March (301)
- February (245)
- January (337)
-
►
2022
(4309)
- December (352)
- November (422)
- October (288)
- September (281)
- August (347)
- July (303)
- June (335)
- May (406)
- April (341)
- March (371)
- February (390)
- January (473)
-
►
2021
(9030)
- December (636)
- November (647)
- October (809)
- September (797)
- August (880)
- July (894)
- June (747)
- May (780)
- April (580)
- March (629)
- February (643)
- January (988)
-
►
2020
(6800)
- December (819)
- November (698)
- October (832)
- September (729)
- August (548)
- July (558)
- June (615)
- May (394)
- April (368)
- March (453)
- February (439)
- January (347)
-
►
2019
(4089)
- December (411)
- November (425)
- October (375)
- September (279)
- August (397)
- July (353)
- June (326)
- May (315)
- April (266)
- March (318)
- February (293)
- January (331)
-
►
2018
(4100)
- December (305)
- November (304)
- October (357)
- September (352)
- August (420)
- July (442)
- June (366)
- May (412)
- April (343)
- March (275)
- February (233)
- January (291)
-
▼
2017
(3888)
- December (268)
- November (293)
- October (352)
- September (309)
- August (356)
- July (300)
- June (319)
- May (354)
- April (316)
- March (335)
- February (306)
- January (380)
-
►
2016
(4563)
- December (331)
- November (328)
- October (378)
- September (415)
- August (404)
- July (380)
- June (310)
- May (370)
- April (430)
- March (484)
- February (355)
- January (378)
-
►
2015
(4588)
- December (402)
- November (392)
- October (393)
- September (375)
- August (450)
- July (392)
- June (456)
- May (407)
- April (408)
- March (374)
- February (262)
- January (277)