23/09/2017 10:58 AST

Oil was heading for a third weekly gain as Opec ministers meeting in Vienna urged a continued commitment to supply cuts they said are making good progress in draining a global glut.

Front-month oil futures were little changed in New York, leaving them 1.3 per cent higher this week. It’s critical for the Organisation of Petroleum Exporting Countries to maintain focus and fully implement their agreed curbs, Secretary General Mohammad Barkindo said Friday. The oil market is well on its way to rebalancing and the pace of the drop in inventories in developed economies has accelerated, Kuwait’s Oil Minister Issam Al Marzooq said.

Oil has advanced this month on forecasts for rising crude demand and as US Gulf Coast plants recover from Hurricane Harvey, which halted almost a quarter of the nation’s refining capacity. Nine months into the Opec-led supply agreement, implementation of the pledged production cuts remains high. Nigeria, which is currently exempt from making cuts, reiterated that it would accept a cap once output stabilises around 1.8 million barrels a day.

“Today’s meeting of the Joint Ministerial Monitoring Committee is lending buoyancy,” Commerzbank said in a note. “Although no binding promises to extend or expand the agreement can be expected, Nigeria, which like Libya had not signed up to the production cuts, is at least showing a willingness to come on board.”

West Texas Intermediate for November delivery was at $50.50 (Dh185.34) a barrel on the New York Mercantile Exchange, down 5 cents, at 12:15pm in London. Total volume traded was about 48 per cent below the 100-day average. Prices advanced 5.1 per cent last week, the biggest weekly gain since July.

Too soon

Brent for November settlement was at $56.48 a barrel on the London-based ICE Futures Europe exchange, 5 cents higher. Prices are up 1.6 per cent this week. The global benchmark crude traded at a premium of $5.97 to WTI.

Oil inventories in developed economies have dropped by 170 million barrels since January and backwardation in prices shows stockpiles are shrinking and demand rising, Kuwait’s Al Marzooq said. “We are on the right track and there is now more light at the end of the tunnel,” he said. “This is not the time to take our foot off the accelerator.”


Ticker Price Volume
QNBK 123.29 21,021
SABIC 98.36 2,678,948
PETRORABIGH 13.62 1,724,546
DARALARKAN 6.91 23,025,622
KINGDOM 10.18 49,926
WALAA 28.48 318,680
STC 68.60 268,047
(In US Dollar) Change Change(%)
Brent 58.15 0.27 0.47
WTI 52.04 0.16 0.31
OPEC Basket 56.12 0.29 0.52
Oil slips from earlier gains as U.S. gasoline, diesel stocks rise


Brent oil prices retreated from three-week highs reached earlier in the day on Wednesday, after a surprising fall-off in U.S. refining runs and an unexpected increase in inventories of gasoline and d


Oil Snaps Four-Day Rally Amid Swelling U.S. Fuel Stockpiles


Oil declined, halting four days of advances, after a closely watched tally of U.S. fuel inventories showed a rise in gasoline and diesel supplies.

Futures slid as much as 1.9 percent in Ne


China’s oil demand key to balance in oil market


China’s purchases of crude oil for the sake of building its stocks have helped ease the oil market towards balance, the International Energy Agency (IEA) said in this month’s Oil Market Report.

My Oil and Gas News

Oil demand to top 100 million barrels a day in 2020, Barkindo says


OPEC Secretary-General Mohammad Barkindo on Thursday struck a decidedly sanguine tone on the outlook for crude, saying the market is balancing at an “accelerated pace” and that demand will continue t


Oil markets stable on tighter U.S. market, expected extension of OPEC


Oil prices were stable on Thursday, supported by ongoing OPEC-led supply cuts, tensions in the Middle East and lower U.S. production due to hurricane-enforced closures.

Brent crude futures