Saturday, April 26, 2025
3:47 AM
Doha,Qatar
Oil prices

Crude prices up on Canada fires, Saudi oil minister replacement

Crude prices extended gains in Asia Monday as raging wildfires hit production in Canada, while traders digested news that Saudi Arabia had replaced its oil minister.

At about 0630 GMT, US benchmark West Texas Intermediate for June delivery was up 78 cents, or 1.75 percent, at $45.44 a barrel while North Sea Brent for July was up 56 cents, or 1.23 percent, at $45.93.

Saudi Arabia, the biggest exporter in the OPEC producers' group, on Friday replaced Ali al-Naimi -- who had been in his post for two decades -- with a close ally of the deputy crown prince.

He will be replaced by Khaled al-Falih, the longtime head of state oil giant Saudi Aramco and an ally of Prince Mohammed bin Salman, who has taken charge of economic policy and has embarked on a drive to transform the economy to reduce its dependence on oil.

‘The appointment of a new minister shows that the Saudis are trying to rejuvenate the market and are serious about trying to reduce production,’ CMC Markets senior sales trader Alex Wijaya told AFP.

‘So there's a lot of positive outlook in the markets, which we're seeing translate into higher prices,’ Wijaya said.

Naimi was one of the most powerful figures within the OPEC oil cartel but his influence has recently appeared to have been curbed by the growing power of Prince Mohammed.

The raging wildfires in Canada's Alberta region have forced producers to cut output by a million barrels a day. The blaze is ravaging the area around Fort McMurray, the centre of Canada's massive oil sands deposits, and forced producers to shut down operations.

However, price rises were tempered by data showing another fall in Chinese exports and imports last month, in the latest sign of weakness in the world's second largest economy and top energy consumer.

‘This may further apply pressure on oil prices,’ said EY oil and gas analyst Sanjeev Gupta.

 

 

Comments
  • There are no comments.

Add Comments

B1Details

Latest News

SPORT

Canada's youngsters set stage for new era

Saying goodbye is never easy, especially when you are saying farewell to those that have left a positive impression. That was the case earlier this month when Canada hosted Mexico in a friendly at BC Place stadium in Vancouver.

1:43 PM February 26 2017
TECHNOLOGY

A payment plan for universal education

Some 60mn primary-school-age children have no access to formal education

11:46 AM December 14 2016
CULTURE

10-man Lekhwiya leave it late to draw Rayyan 2-2

Lekhwiya’s El Arabi scores the equaliser after Tresor is sent off; Tabata, al-Harazi score for QSL champions

7:10 AM November 26 2016
ARABIA

Yemeni minister hopes 48-hour truce will be maintained

The Yemeni Minister of Tourism, Dr Mohamed Abdul Majid Qubati, yesterday expressed hope that the 48-hour ceasefire in Yemen declared by the Command of Coalition Forces on Saturday will be maintained in order to lift the siege imposed on Taz City and ease the entry of humanitarian aid to the besieged

10:30 AM November 27 2016
ARABIA

QM initiative aims to educate society on arts and heritage

Some 200 teachers from schools across the country attended Qatar Museum’s (QM) first ever Teachers Council at the Museum of Islamic Art (MIA) yesterday.

10:55 PM November 27 2016
ARABIA

Qatar, Indonesia to boost judicial ties

The Supreme Judiciary Council (SJC) of Qatar and the Indonesian Supreme Court (SCI) have signed a Memorandum of Understanding (MoU) on judicial co-operation, it was announced yesterday.

10:30 AM November 28 2016
ECONOMY

Sri Lanka eyes Qatar LNG to fuel power plants in ‘clean energy shift’

Sri Lanka is keen on importing liquefied natural gas (LNG) from Qatar as part of government policy to shift to clean energy, Minister of City Planning and Water Supply Rauff Hakeem has said.

10:25 AM November 12 2016
B2Details
C7Details