Brent crude declined for a fifth day as exports from the North Sea rebounded to a seven-month high, while a pipeline in Yemen resumed flows after an attack.
Brent dropped as much as 0.7 percent, erasing an earlier gain of 0.4 percent. Daily exports of North Sea Brent, Forties, Oseberg and Ekofisk grades, which make up the Dated Brent benchmark, will jump to 900,000 barrels a day in September, revised loading programs obtained by Bloomberg News showed. Yemen’s Marib crude began flowing today through a pipeline after repairs were made to the line following sabotage by local tribesmen on Aug. 4, the official Saba news agency reported.
“A slight easing of supply concerns with few developments on the geopolitical front” is weighing on prices, said Andrey Kryuchenkov, an analyst at VTB Capital in London.
Brent for September settlement slipped as much as 72 cents to $106.72 a barrel on the London-based ICE Futures Europe exchange. The European benchmark’s premium to West Texas Intermediate strengthened earlier to as much as $3.31, the widest gap on an intraday basis since July 31.
WTI for September delivery was at $103.82 a barrel, down 55 cents in electronic trading on the New York Mercantile Exchange at 1:37 p.m. London time. The volume of all futures traded was 6 percent above the 100-day average. The contract decreased 93 cents to $104.37 yesterday, the lowest since July 30.