Global oil prices slip despite supply disruption risks grow

Global oil prices edged lower on Wednesday (September 16) after a surprise increase in US crude inventories, although concerns over potential supply disruptions following an attack on a key Saudi oil facility kept the market on alert.

At 0028 GMT, Brent crude was down 93 cents, or 0.86 per cent, at $107.82 a barrel, while US West Texas Intermediate (WTI) fell 97 cents, or 0.92 per cent, to $104.86.

Both benchmarks had gained more than $3 on Tuesday after an attack on Saudi Arabia’s East-West Pipeline disrupted crude exports through the Yanbu terminal on the Red Sea, raising fresh concerns over global supplies.

Saudi Arabia’s decision to reduce crude supplies to Europe has added to market pressure, with traders closely watching the potential impact on availability.

The latest decline came despite heightened supply concerns, as the unexpected rise in US inventories put downward pressure on prices.

Source: Al Jazeera