EU foreign ministers they were divided on the ban on Russian oil. Countries like Germany say the bloc is too dependent on fossil fuels from Russia to support such a move.
Brent crude fell 14 cents, or 0.12%, to $115.48 a barrel, and West Texas Intermediate in the United States (WTI) fell 36 cents, or 0.32%, to $111.76. Both contracts climbed more than 7% in the previous round before the possible prohibition by the EU.
Adding to supply shortages, the Caspian Pipeline Consortium’s (CPC) oil exports may fall by around 1 million barrels per day (bpd) as it repairs two of three storm-damaged mooring points in the Russian section of the Sea. Black quoted the RIA news agency to the Russian Ministry of Energy.
French oil company TotalEnergies, which has come under fire after failing to join Shell and BP L in planning to sell oil and gas assets in Russia, said on Tuesday it would terminate Russian oil supply contracts.
Crude prices were supported by supply threats as Yemen’s Iran-aligned Houthi group attacked Saudi Arabia’s power and water desalination facilities over the weekend. On Monday, Riyadh said it would not take responsibility for global supply shortages following the raids.
The market will watch weekly US inventory data for more direction. Analysts expect crude stocks to rise slightly.
The American Petroleum Institute, an industry group, issues its afternoon supply report on Tuesday, with official data due on Wednesday.
Source: Ambito
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