08 Mar - Brent crude breaches 70/bbl after drone attack on Saudi oil hub
Oil prices jumped 4% on Friday, March 5, as supply outlook for the near term has tightened further following the news of an extension of OPEC’s production cuts into April. A drone attack on Saudi Arabia’s Ras Tanura oil export hub on Sunday, March 7, has exacerbated the upsurge in the energy markets, sending Brent crude oil above $70/bbl on Monday.
On Friday, West Texas Intermediate crude for April surged by $2.26/bbl to settle at $66.09/bbl while Brent crude futures for May were $2.62/bbl higher at $69.36/bbl from its latest closing level. These levels indicated the highest levels since January 2020, according to the weekly average of ChemOrbis Price Wizard.
The upward trend has been extended into Monday, following the news of attacks on Saudi Arabian oil facilities However, the Saudi energy ministry reported that their operations were unaffected by the attack.
Both crude oil futures were trading nearly 2% higher this morning when compared to Friday. Brent crude was hovering at around $70.71/bbl while W