The withdrawal of Europe from the Russian oil embargo made American oil cheaper

According to Fars International Economic Group, quoted by Reuters, after the European Union announced that it would allow Russian state-owned companies to send oil to third countries, based on the amendment of sanctions agreed by the member states this week, the price US crude oil fell below 95 dollars for the first time since April in the tense trading of the last working day of the global markets.

A barrel of US crude oil was sold at $94.70, down one dollar and 65 cents.

A barrel of Brent North Sea oil was also traded with a decrease of 66 cents to $103.20.

Demand for gasoline during the peak driving and travel season fell nearly 8 percent from last year, sending U.S. crude oil to a third straight weekly decline.

On the other hand, signs of strong demand in Asia boosted Brent crude oil prices, which recorded a weekly gain for the first time in the past 6 weeks.

Oil exchanges in recent weeks volatile And it has been volatile as traders try to gauge the possibility of market rate hikes that could dampen demand, and on the other hand worry about reduced supply due to Russian sanctions.

The European Union has announced that in order to limit the risks to the world’s energy security, the Russian state companies “Rosneft” and “Gazprom” can send Russian oil to third countries.

In addition, payments related to the purchase of Russian offshore crude oil by EU companies will not be prohibited.

The announcement of the European Union was published when the Central Bank of Russia announced that its country will sell crude oil to countries that have set a price ceiling for Russian oil. are will not sell it and will instead offer it to countries that are ready to cooperate with Russia.

According to Dennis Kieslermarket analyst, experience shows that setting a price ceiling by governments on basic goods will be short-term and will soon cause an increase in the price of those goods.

Libya’s oil minister announced that Libya’s oil production is 800,000 barrels per day and will reach 1.2 million barrels per day next month.

The director of Iraq’s Basra Oil Company announced that, if requested by Baghdad, Iraq has the capacity to increase oil production up to 200,000 barrels per day this year.

baker HughesEnergy Services Company announced that the number of active oil and gas rigs in the United States has remained constant at 599 this week and has not changed.

Hassan Mohammad, the deputy director general of Iraq’s Basra oil field, said in an interview: “If Iraq is asked to increase production, we can add 200,000 barrels per day to our oil supply by the end of this year and based on the existing production capacity.”

He said: But we need more time to produce more than this amount. This increased production from the oil field Horn West 1 and other developed fields of Iraq will be done.

Forbes also wrote that America will consume 18.7 million large barrels in 2021the most It was the world’s oil consumer, which has grown by 8.7% compared to 2020. The highest amount of American oil consumption was recorded in 2005, which is 9% more than in 2021.

After the United States, China was the second oil consumer in the world with a daily consumption of 15.4 million barrels.

end of Payam/T 81