ISLAMABAD
Crude oil prices eased on Thursday after the United States lifted sanctions on Venezuela’s oil industry.
As of 1035 hours GMT, Brent, the international benchmark for two-thirds of the world’s oil, shed $1.47 (-1.61 percent) to reach $90.03 a barrel. The West Texas Intermediate (WTI), the main oil benchmark for North America, went down by $1.22 (-1.38 percent) to $87.10 a barrel.
However, the price of Russian Sokol increased by $1.65 (+1.99 percent) to $84.47. Arab Light prices witnessed an increase of $1.63 (+1.74 percent) to reach $95.07 a barrel.
On the other hand, the price for Opec Basket decreased to $92.65 a barrel with a decrease of $0.58 (-0.62 percent). The OPEC Reference Basket of Crudes (ORB) is made up of Saharan Blend, Girassol, Djeno, Zafiro, Rabi Light, Iran Heavy, Basra Light, Kuwait Export, Es Sider, Bonny Light, Arab Light, Murban and Merey.
An increase in Venezuelan production and exports could also help ease the tight global oil supply.
On Wednesday, the United States lifted sanctions on Venezuela’s oil industry after the Nicolas Maduro government reached a deal with the opposition that could see elections held next year. The US issued a six-month general license temporarily authorizing transactions involving the oil and gas sector in Venezuela. The license will be renewed only if Venezuela meets its commitments under the so-called electoral roadmap, the US Treasury noted.
The license, valid until April 18, 2024, authorizes the production, lifting, sale, and exportation of oil or gas from Venezuela, and the provision of related goods and services, as well as payment of invoices for goods or services related to oil or gas sector operations in Venezuela. Authorization is also granted to new investment in oil or gas in Venezuela and to the delivery of oil and gas from Venezuela to creditors of the government of Venezuela, including creditors of PdVSA entities, for the purpose of debt repayment.
