Oil prices move higher as Iran supply issue looms

Oil prices move higher as Iran supply issue looms

Oil prices move higher as Iran supply issue looms

Brent crude oil futures were at $75.19 per barrel at 0640 GMT, up 46 cents, or 0.6 percent, from their last close.

Iran told Opec this month that no member country should be allowed to take over another member's share of oil exports, expressing concern about a Saudi offer to pump more crude amid USA sanctions on Iranian oil sales starting in November.

Traders said the supply versus demand outlook for oil markets was relatively tight because of the looming US sanctions against Iran, which will target oil exports from November.

Worries that Mexico's incoming administration would not strike a bilateral agreement over NAFTA with the USA also weighed on the market, traders said.

ET cited people familiar with the matter as saying that talks between India and Iran over the rights to develop a gas field in the Islamic Republic have stalled in the wake of fresh United States sanctions. Iran, which faces US sanctions, disagreed and criticized Saudi plans to boost output above targeted levels. Tehran says it has no ambitions to make such a weapon. "Third-party reports indicate that Iranian tanker loadings are already down by around 700,000 bpd in the first half of August relative to July, which if it holds will exceed most expectations", observes Jefferies on the oil patch developments.

Military solution in Syria's Idlib 'will cause catastrophe': Turkey FM
A year later, the United Kingdom and France joined the U.S.in carrying out multiple airstrikes against government sites. It is trying to avert an attack by forces loyal to Syrian President Bashar Assad , who is backed by Moscow.

Islamic Republic of Iran Shipping Lines has a total crude capacity of 7 million barrels.

Traders kept an eye on the North Sea, where workers on three oil and gas platforms plan to strike next month.

Hedge funds and other money managers cut their bullish wagers on USA crude futures to the lowest level since mid-June.

OPEC and other oil exporting producers are expected to agree on a mechanism to monitor their crude production before the end of the year, Kuwaiti Oil Minister Bakhit al-Rashidi said on Wednesday. The level was the lowest since the week ended June 19.

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