Brent crude oil price in the North Sea reached $103.18 per barrel by 1:54 AM on Monday (October 20), indicating a decrease of 1.47 percent, equivalent to $1.54. Additionally, WTI crude oil in the United States traded at $90.31 per barrel, down 1.68 percent.
Increase in Diesel Supply by Russia
Following reports of Russia's decision to supply over 300,000 tons (equivalent to 2.25 million barrels) of diesel to the market, the price of this product in the Intercontinental Exchange (ICE) fell by 3 percent to $1,436 per ton. Russia will also supply another 500,000 tons in November and an additional one million tons immediately thereafter.
Read more: Agreement between the U.S. and Russia for the supply of 36 million barrels of diesel
Global Diesel Consumption Forecast
The International Energy Agency has predicted that global diesel consumption is about 29 million barrels per day. This agency has also stated that its members should assess the necessity of drawing more diesel from strategic reserves and that countries which have not yet fully supplied their committed amounts should expedite the release process, prioritizing diesel.
Impact of Middle Eastern Conflicts on Oil Prices
However, conflicts in the Middle East continue to be a factor in keeping Brent crude oil prices above $100 per barrel. Analysts at Goldman Sachs have raised their forecast for Brent crude oil prices in December from $85 to $90 per barrel.
These analysts also believe that the likelihood of renewed tensions could pose a significant risk of price increases. They have also estimated transportation costs between the U.S. and Europe to be unusually low compared to Brent oil and predicted that WTI crude oil prices in December 2026 will average $81 and $73 per barrel in 2027.
Production Status in the Gulf of Mexico
Following the arrival of Hurricane "Isaias" on the shores of the Gulf of Mexico in the U.S., major energy companies including Shell, Chevron, and BP are working to bring back employees and resume production at their platforms.
Read more: Opportunities in the Petrochemical Industries in Iraq and the Unemployment Challenge · Increase in Brent Oil Price to $104.72
