SINGAPORE (Commodity Online) : World oil prices remained near $79 a barrel in Asian trade Wednesday after dropped overnight mainly on restoration of oil operations in the Gulf of Mexico.

Light sweet crude for December delivery was seen trading at $79.14 a barrel at 11.30 a.m Singapore time while Brent crude for December delivery was at $77.40 a barrel at the same time.

Trading platform that even a 5 year old can trade. Join now

On Tuesday, crude for delivery in December, eased 38 cents to close at $79.17 a barrel while Brent crude for December delivery declined 27 cents to settle at $77.50 a barrel.

Oil and gas operations restarted in the Gulf of Mexico after closing down ahead of the onset of Hurricane Ida. Forty three percent of US oil production in the Gulf had been shut down due to the storm.

The market also looked to the US Energy Information Administration (EIA) late Tuesday saying that demand for black gold would rise next year, analysts said.

The prediction followed the International Energy Agency's forecast Tuesday that oil prices, without adjustment for inflation, would be $100 a barrel in 2020 and $115 in 2030.

World oil prices dropped on Tuesday as Hurricane Ida fizzled into a tropical depression, easing worries about the potential threat to petroleum installations in the Gulf of Mexico.

It was a category two hurricane storm when it struck eastern Central America and churned towards Mexico's Yucatan Peninsula on Sunday

Post your comment  (0)

Connect:

Post to Twitter

Post to Facebook