Oil advances on threats to supply from Russia to Middle East
Zelenskyy says Ukraine will carry on strikes against Russia as Moscow continues to hit its energy infrastructure
Oil prices climbed as Ukraine vowed to continue attacks on Russia, despite Moscow's ongoing assault on energy infrastructure. President Volodymyr Zelenskyy expressed his doubts about an energy ceasefire announced by US President Donald Trump, stating that Vladimir Putin does not read social media. Amrita Sen, founder and director of Energy Aspects, noted that the so-called ceasefire is unlikely to hold.
In the Middle East, Saudi Arabia reported detecting and responding to fresh threats following recent attacks by Houthi militants that killed 14 and injured hundreds. The attacks have disrupted operations at Riyadh's main airport. Tanker strikes in the Strait of Hormuz have also increased, causing delays in crude flow. Global benchmark crude prices have been over 70% higher than in 2022, driven by the US war on Iran.
Saudi Energy Minister Prince Abdulaziz bin Salman assured that the kingdom remains committed to energy security and expanding oil pipeline capacity. Experts predict Brent crude to average above US$100 a barrel through the second quarter of next year, despite a return to normal supply expected to be slower than anticipated. Meanwhile, Russia has shipped a small fraction of the 500,000 tons of Russian diesel promised to the market by US President Donald Trump, which amounted to a minimal impact on supply.
Written by urgent.news from The Business Times - Companies & Markets's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.