16.09.202623:25:42UTC+00Oil Extends Decline as Supply Concerns Ease

Crude oil prices fell to about $102 per barrel on Thursday, extending losses for a second straight session. The decline followed reports that Saudi Arabia plans to restore roughly half of the capacity of its key East-West pipeline within days and return it to full operation within six weeks. The pipeline, which offers a strategic alternative to shipping through the Strait of Hormuz, was damaged in drone attacks last week.

In the interim, Saudi Arabia has intensified efforts to move more crude through the Strait of Hormuz, supported by the US military. US Energy Secretary Chris Wright noted that 18 million barrels of crude and petroleum products had passed through the strait earlier this week.

In the United States, official data showed crude inventories fell by 640,000 barrels to 423.4 million barrels, a smaller drawdown than analysts had expected. The figures contrasted sharply with the American Petroleum Institute’s earlier estimate, which had pointed to a 7.1 million-barrel increase in crude stockpiles.