According to sources, global oil prices showed a mixed trend on Wednesday. Brent crude edged lower, while US crude prices saw a slight increase.
Sources said the volatility came as severe winter storms disrupted oil production in the United States and affected exports from the Gulf Coast. Latest data showed Brent crude slipping by 6 cents to around 67.5 dollars per barrel, while West Texas Intermediate crude rose slightly to about 62.4 dollars per barrel. A day earlier, prices of both benchmarks had jumped by nearly 3 percent.
Analysts estimate that the snowstorm expected over the weekend disrupted up to 2 million barrels per day of US oil production, around 15 percent of total domestic output. Pressure on energy infrastructure and power systems significantly impacted oil transportation and export activities.
Sources added that production in Kazakhstan’s major oil fields is taking time to fully recover after fires and power outages. Meanwhile, a pipeline company announced that loading capacity at a Black Sea port has been restored following the completion of repairs.
Tensions in the Middle East are also increasing supply concerns. Reports say the US naval fleet has arrived in the region, with attention focused on the possibility of military activity. At the same time, there is speculation that an alliance of major oil producing countries may delay plans to increase output next month.
