Published: Tue, August 08, 2017
Worldwide | By Gretchen Simon

Oil prices slip over Libyan production, OPEC cuts

Oil prices slip over Libyan production, OPEC cuts

So far, the deal has had little impact on global inventory levels due to rising supply from producers not participating in the accord, such as Libya and Nigeria, as well as a relentless increase in US shale output.

The S&P, which is up about 11 per cent this year, is trading at 18 times expected earnings, compared to its 10-year average of 14, according to Thomson Reuters Datastream. A representative from Saudi Arabia is attending the sessions in capacity as president of the Organization of Petroleum Exporting Countries.

Production from Libya's largest oil field was returning to normal after being briefly disrupted by armed protesters who broke into a control room in the coastal city of Zawiya, the National Oil Corp.

Libya has been exempted from an OPEC-led push to cut global production and bolster oil prices, and the recovery of the North African country's output has complicated efforts to curb supply.

Oil production remains high in many parts of the world and fuel prices are around half the level seen in 2011-2014.

The U.S. West Texas Intermediate crude September contract was at $49.53 a barrel by 3:35AM ET (0735GMT), up 14 cents, or around 0.3%.

Marvel promises Inhumans won't be as bad as it looks
Many Marvel fans were disappointed by the first trailer for Marvel's Inhumans , but they certainly weren't alone. Evan Declan, Ellen Woglom as Louise and Chad James Buchanan as an as-yet-unrevealed character.

Libyan production averaged 990,000 b/d in July, which is a rise of 180,000 b/d from the previous month, increasing OPEC's collective output with 920,000 b/d above its nominal ceiling of around 31.9 million b/d.

Crude futures were edging lower in early Tuesday trading, awaiting direction from USA stocks, consumption and production data for the week to August 4.

OPEC and non-OPEC officials were holding a second day of meetings in Abu Dhabi to discuss ways to boost compliance with their oil output-cutting pact, sources familiar with the talks said. Libya churned out 1.03 million bpd in July, according to the latest Reuters survey.

Oil prices have been pressured as "producers meeting in Abu Dhabi have been slow to assure the market that compliance with this year's production cuts will be improved", Tim Evans, Citi Futures' energy futures specialist, said in a note.

United States crude inventories were expected to post their sixth straight weekly decline last week, while refined product stockpiles likely fell too, a preliminary Reuters poll showed on Monday. The industry body American Petroleum Institute will release its latest weekly data later Tuesday, followed by the government's Energy Information Administration reporting its statistics Wednesday.

Whereas, the U.S. drillers have cut one oil rig in the present week, cutting the total count to 765 as on Friday, August 4.

Like this: