Receive our newsletter – data, insights and analysis delivered to you
December 22, 2013

Today’s Brent value increases over South Sudan developments

Brent value has gone up marginally today after news emerged from South Sudan government that rebels have seized the capital of a key oil-producing region, reviving supply concerns.

By admin-demo

offshore

Brent value has gone up marginally today after news emerged from South Sudan government that rebels have seized the capital of a key oil-producing region, reviving supply concerns.

According to Reuters, Brent crude increased by one cent to $111.78 a barrel, while US crude dropped by 11 cents at $99.21.

The South Sudan government said on its Twitter account that it was no longer in control of Bentiu, the capital of Unity State.

South Sudan, which gets nearly 99% of its government budget from oil revenues, is believed to be on the verge of an all-out ethnic civil war in the world’s newest country.

China National Petroleum, an oil investor in South Sudan has evacuated oil workers from its oilfields to the capital, Juba.

"They are significant enough to make people nervous."

A government official said the country’s output of 245,000bpd, however, was still flowing normally despite tensions reaching vital oil fields.

Content from our partners
How the North of Tyne region is leveraging its legacy to define its future
Q&A with Chevron Lubricants’ Paul Sly, global industrial OEM specialist, and Nathan Knotts, global brand technical manager
The important role of antifoam agents in oil-gas separation and amine treating

The prices got more support as Libyan key oil ports were shut by a group demanding greater autonomy for the country’s eastern part.

Libya’s oil output has dropped to around 250,000 barrels per day (bpd) from 1.4 million five months ago, adding concerns among investors.

Jonathan Barratt, chief executive of Barratt’s Bulletin said: "You’ve lost Libyan supply and you’ll lose Sudanese supply. Although they are not large amounts, they are significant enough to make people nervous."

Saudi Arabia’s oil minister said worries about short supplies have caused the oil market’s pricing dynamics to shift in recent days, and that the kingdom was ready to cut production.


Image: Image: Oil flow continued in South Sudan even amidst growing tensions. Photo: courtesy of freedigitalphotos.net/Michelle Meiklejohn.

Nri energy

Related Companies

NEWSLETTER Sign up Tick the boxes of the newsletters you would like to receive. The top stories of the day delivered to you every weekday. A weekly roundup of the latest news and analysis, sent every Friday. The industry's most comprehensive news and information delivered every month.
I consent to GlobalData UK Limited collecting my details provided via this form in accordance with the Privacy Policy
SUBSCRIBED

THANK YOU