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February 19, 2025
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Petroleum rises by situation in Ukraine and reports on OPEC+

Petroleum rises by situation in Ukraine and reports on OPEC+

The prices of oil They won impulse on Tuesday, after Ukraine attacked a pumping station in southern Russia and amid doubts about the reintroduction of barrels to the market by OPEC+.

The price of the Brent barrel of the North Sea for delivery in April rose 0.82% to $ 75.84. Its American equivalent, West Texas Intermediate, for delivery in March, advanced 1.57%, to $ 71.85.

The market is still “concerned about the situation between Russia and Ukraine, and in particular for the attacks (…) of Ukraine against Russian infrastructure,” John Kilduff, an analyst at Capital, told AFP.

Ukraine hit a pipeline that connects the Caspian Sea with the Black Sea through southern Russia, causing the stop of an important pumping station, the operating company announced Monday.

The damage could lead to a “about 30%” fall of the volume of oil pumped from Kazakhstan for about two months, the Russian operator of the pipeline said Tuesday.

This new attack, in response to those carried out by Russia during the last three years in Ukraine, arrives at a time of diplomatic stir around the conflict.

Washington said Tuesday that Russia and the United States will appoint teams to negotiate the end of the war as soon as possible, after the two superpowers met in Saudi Arabia, without kyiv or the Europeans.

“The market is at a time of fluctuation, trying to digest the different elements,” said Kilduff.

In addition, the price of black gold was promoted by the publication of information, then denied by a Russian official, which indicates that the organization of oil export countries and its allies (OPEC+) could postpone the return of barrels to the market again.

The information was published on Tuesday by the Bloomberg agency, before being denied by the Vice Prime Russian Minister and former Minister of Energy Alexander Novak to the Tass agency.

According to these rumors, “the OPEC+ would be considering a fourth postponement of the increase in production”, which explains the strengthening of prices, and despite the denial, “the residue of the idea continues to be,” explains John Evans, PVM analyst .

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