Crude oil prices rose by more than 1% in mid-European trading on Tuesday, September 23, recovering losses recorded at the beginning of the weekly opening session yesterday, Monday, after the failure to reach an agreement on Iraqi Kurdistan’s oil exports. Markets are awaiting preliminary inventory figures from the American Petroleum Institute later today, ahead of the official figures from the US Energy Information Administration on Wednesday. US crude (NYMEX) rose by approximately $1.14, trading at $62.99 per barrel, while Brent crude traded at $67.26 per barrel, up approximately 1.01%.
The agreement between the Iraqi federal government and the Kurdistan Regional Government aims to resume exports of approximately 230,000 barrels per day of oil from Kurdistan to the global market, which have been halted since March 2023, after the Norwegian companies DNO.OL and GENL.L announced that they would not sign the agreement until they received guarantees regarding the payment of arrears from the Kurdistan Region.
Crude prices fell in the opening session on Monday as concerns mounted that the agreement and resumption of exports would exacerbate the global supply glut.