Oil End of Day Summary: WTI Headed for 2-Month High

WTI is headed for its highest close since late November, amid rising geopolitical risks, disrupted US output and Chinese stimulus plans.

• WTI MAR 24 up 2.6% at 77.03$/bbl
• North Dakota oil production is disrupted by 130-180kbpd due to cold weather according to the pipeline authority on Thursday.
• Iran is under extreme sanctions by the US which is significantly bringing down Iran’s oil exports, Amos Hochstein, the US Energy Security Advisor said to Bloomberg.
• The Chinese central bank cut the reserve ratio to help reinforce support for the economy and raise hopes of more stimulus measures and economic recovery.
• A Rosneft refinery in Tuapse was struck by drones early on Thursday.
• West Canadian Select discounts to WTI narrowed to their lowest since Aug. 2023, according to Oilprice.
• Norway’s DNO has not been asked by the KRG to reduce its oil production in order to meet Iraq’s OPEC+ quota, Managing Director Chris Spencer on Thursday, cited by Bloomberg.
• Brent could rise to $90/bbl if Middle East disruption spreads amid escalating tensions according to a bullish scenario from Citigroup.
• Tanker Trackers flagged earlier that the suezmax tanker, AGISTRI (9597018), laden with 1 million barrels of Kazakh crude blend, is not taking the risk of Red Sea passage in order to reach South Korea.
• Angola’s Sonangol has reduced its offer price to spot buyers for a cargo of Girassol crude for March loading, according to Bloomberg.
• Platts set the sulphur de-escalator applied to Forties crude at 20 cents/b for Feb, according to n SPGCI subscriber note.