Middle East crude benchmarks Oman, Dubai and Murban rose sharply on Monday to their highest since October 2023 as tougher U.S. sanctions on Russia pushed Asian buyers’ demand for the market.
The U.S. Treasury on Friday imposed sanctions on Russian oil producers Gazprom Neft SIBN and Surgutneftegas, as well as 183 vessels that have shipped Russian oil, as it targets the revenues Moscow has used to fund its war with Ukraine.
As wider U.S. sanctions are expected to affect Russian crude exports to top buyers China and India, oil prices extended gains for a third session on Monday, with Brent rising above $80 a barrel to its highest in more than four months.
SINGAPORE CASH DEALS
Cash Dubai’s premium to swaps rose $1.35 to $3.08 a barrel, the biggest daily gain since at least September 2020.
NEWS
The Kremlin said on Monday that the latest round of U.S. sanctions on the Russian energy sector risked destabilising global oil and energy markets, and Moscow would do everything possible to minimise their impact.
China’s crude oil imports fell 1.9% in 2024, data showed on Monday, the first annual decline in two decades outside of pandemic-induced falls, as tepid economic growth and peaking fuel demand dampened purchases.
Proceeds from oil and gas sales for Russia’s federal budget in 2024 jumped by more than 26% to 11.13 trillion roubles ($108.22 billion).
U.S. shale producer Occidental Petroleum OXY said the prices it received for oil produced during the fourth quarter were lower than the preceding three months, as global demand for the commodity weakened.
Source: Reuters