Calendar An icon of a desk calendar. Cancel An icon of a circle with a diagonal line across. Caret An icon of a block arrow pointing to the right. Email An icon of a paper envelope. Facebook An icon of the Facebook "f" mark. Google An icon of the Google "G" mark. Linked In An icon of the Linked In "in" mark. Logout An icon representing logout. Profile An icon that resembles human head and shoulders. Telephone An icon of a traditional telephone receiver. Tick An icon of a tick mark. Is Public An icon of a human eye and eyelashes. Is Not Public An icon of a human eye and eyelashes with a diagonal line through it. Pause Icon A two-lined pause icon for stopping interactions. Quote Mark A opening quote mark. Quote Mark A closing quote mark. Arrow An icon of an arrow. Folder An icon of a paper folder. Breaking An icon of an exclamation mark on a circular background. Camera An icon of a digital camera. Caret An icon of a caret arrow. Clock An icon of a clock face. Close An icon of the an X shape. Close Icon An icon used to represent where to interact to collapse or dismiss a component Comment An icon of a speech bubble. Comments An icon of a speech bubble, denoting user comments. Ellipsis An icon of 3 horizontal dots. Envelope An icon of a paper envelope. Facebook An icon of a facebook f logo. Camera An icon of a digital camera. Home An icon of a house. Instagram An icon of the Instagram logo. LinkedIn An icon of the LinkedIn logo. Magnifying Glass An icon of a magnifying glass. Search Icon A magnifying glass icon that is used to represent the function of searching. Menu An icon of 3 horizontal lines. Hamburger Menu Icon An icon used to represent a collapsed menu. Next An icon of an arrow pointing to the right. Notice An explanation mark centred inside a circle. Previous An icon of an arrow pointing to the left. Rating An icon of a star. Tag An icon of a tag. Twitter An icon of the Twitter logo. Video Camera An icon of a video camera shape. Speech Bubble Icon A icon displaying a speech bubble WhatsApp An icon of the WhatsApp logo. Information An icon of an information logo. Plus A mathematical 'plus' symbol. Duration An icon indicating Time. Success Tick An icon of a green tick. Success Tick Timeout An icon of a greyed out success tick. Loading Spinner An icon of a loading spinner.

Oil set for first weekly drop since February amid swelling glut

Oil prices
Oil prices

Oil headed for the first weekly decline since February as OPEC production rose and expanding US stockpiles kept inventories at the highest level in more than eight decades.

Futures declined as much as 1.6 percent in New York, down 4.2 percent for the week.

The Organization of Petroleum Exporting Countries increased supply by 64,000 barrels to 33.09 million a day in March as Iraqi output gained and Iran pumped at the highest level in almost four years, according to data compiled by Bloomberg.

A US government report Wednesday showed crude supplies rose for a seventh week to the most since 1930.

“The market is still oversupplied,” Evan Lucas, a market strategist at IG Ltd. in Melbourne, said by phone.

“Trading will probably remain around the mid-to-upper $30 level range with anything above $40 being sold.”

Oil still rose 14 percent in March after rebounding from a 12-year low this year amid speculation the global glut will ease as US output falls.

Russia’s Foreign Minister Sergei Lavrov and his Venezuelan counterpart discussed by phone the prospects of developing cooperation between OPEC and other producing states, according to a statement on the Russian Foreign Ministry website.

West Texas Intermediate for May delivery lost as much as 63 cents to $37.71 a barrel on the New York Mercantile Exchange and was at $37.79 at 1:03 p.m. Hong Kong time.

The contract gained 2 cents to close at $38.34 on Thursday. Total volume traded was about 10 percent below the 100-day average. Prices rose 3.5 percent in the first quarter.

Brent for June settlement fell as much as 60 cents, or 1.5 percent, to $39.73 a barrel on the London-based ICE Futures Europe exchange.

The May contract expired Thursday after gaining 34 cents to $39.60. Front-month prices rose 10 percent last month. The global benchmark crude was at a premium of 64 cents to WTI for June.

Iranian output rose by 100,000 barrels a day to 3.2 million last month, the most since May 2012, according to a Bloomberg survey of oil companies, producers and analysts.

Sanctions against the nation, which were strengthened in July 2012, were lifted in January. Iraq pumped an additional 150,000 barrels a day while Saudi Arabia’s production was little changed.

OPEC and oil market news:

-Colombia’s Ecopetrol SA can activate some fields if oil rises to $45 and above, Chief Executive Officer Juan Carlos Echeverry said in Bogota.

-Nigeria will nominate Mohammed Barkindo, former group managing director of state-owned Nigerian National Petroleum Corp., for the position of OPEC secretary-general, according to two people familiar with the matter.

Recommended for you

More from Energy Voice

Latest Posts