Oil prices have fallen after Kuwaiti workers called off a three-day strike, adding to investors’ oversupply concerns.
Brent futures slipped 94 cents at $43.09 a barrel, while the US crude was down 98 cents and traded at $40.10, Reuters reported.
The strike by Kuwaiti oil workers protesting against pay cuts resulted in a fall in crude output by 60% to around 1.1 million barrels a day.
Kuwait’s acting oil minister Anas al-Saleh had earlier refused to negotiate until the workers returned to their jobs.
According to data released by the American Petroleum Institute, crude inventories in the US increased by 3.1 million barrels in the week ending 15 April, reinforcing global over surplus worries.
Kuwait’s crude export terminal was ready with six supertankers to load oil.
The country, which increased its output to 1.6 million barrels per day (bpd) from 1.1 million on Sunday, produced 2.8 million bpd at the end of March 2016.
SEB chief commodity analyst Bjarne Schieldrop told the news agency that Kuwait will again produce more oil.
Investors are awaiting data to be released by the US Government’s Energy Information Administration for more clues on the outlook for supplies worldwide.
Image: The strike launched by Kuwaiti oil workers resulted in a fall in crude output by 60%. Photo: courtesy of hin255/FreeDigitalPhotos.net.
