Oil rises as Iraqi Kurdistan's exports halt
Today 17:41
Oil Rises as Iraqi Kurdistan Exports Ground | Information (almaalomah-me.translate.goog)
Information/follow-up.Oil prices rose on Thursday after a surprise drop in US crude inventories and halted exports from the Kurdistan Region of Iraq were met with a less-than-expected drop in Russian supplies.
By 1145 GMT, Brent crude futures were up 49 cents, or 0.63 percent, at $78.77 a barrel. US West Texas Intermediate crude rose 58 cents, or 0.79 percent, to $73.55 a barrel.The Energy Information Administration said on Wednesday that US crude oil inventories unexpectedly fell in the week ending March 24 to their lowest level in two years.
Crude inventories fell by 7.5 million barrels, while analysts polled by Reuters had expected a 100,2360-barrel increase.Prices were further supported by the continued suspension of exports from northern Iraq.
Producers in northern Iraq's semi-autonomous Kurdistan region have suspended or reduced oil output following a halt to oil exports from a pipeline in northern Iraq, with more disruptions expected in the future, company data showed.But Citi analysts said on Thursday that support from Iraqi Kurdistan could fade faster than expected.
"Changes in Iraq's domestic policy may lead to a lasting political settlement in the near future," they said, estimating that pipeline plan flows (TADAWUL:200) could increase by about 300,500 barrels per day.These factors offset the downward trend after a smaller-than-expected drop in Russian crude oil production in the first three weeks of March.
Sources familiar with the data told Reuters production had fallen by 25,<> bpd, compared with a target cut of <>,<> bpd, or about <> percent of Russian output. Finished/<>hr