Brent Oil down to 109.50 as Libya Plans to Open Main Oil Ports

Brent crude fell, narrowing its premium to West Texas Intermediate to the least in a month, following reports that Libya will reopen its main oil ports.

Brent was little changed, after gaining as much as 1 percent earlier today. Brigadier Idris Bukhamada, head of the Petroleum Facilities Guard, said that Es Sider, Ras Lanuf and Zueitina ports will reopen Dec. 15. Crude stockpiles in the U.S. probably shrank by 3 million barrels last week, according to a Bloomberg News survey before a report from the Energy Information Administration tomorrow. OPEC reduced its output in November to the lowest level in more than two years.

“WTI is getting some fundamental support from expectations of U.S. crude inventories drawing for a second week running, while overheated Brent is pressured by anticipated higher North Sea loadings in January and the Libya news,” Andrey Kryuchenkov, an analyst at VTB Capital in London, said by phone before the Libyan port announcement.

Bloomberg

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