Oil prices fell by more than $2 a barrel in Asian trade today, partially offsetting yesterday's surge. The decline followed reports that the Iraqi government and local Kurdish authorities had reached an agreement to resume oil exports from fields in the northern Iraqi province of Kirkuk to the Turkish port of Ceyhan, which somewhat eased concerns about supplies from the Middle East, Reuters reported, BTA reported.
However, there are no signs of de-escalation in the US-Israeli conflict with Iran, and oil prices have fluctuated around the $100 per barrel mark for the past four trading sessions, the agency added.
Brent crude oil futures, which are the benchmark for Europe, fell by $2.26, or 2.19 percent, to $101.16 per barrel by 06:29 Bulgarian time, after registering a growth of more than 3 percent at the close of yesterday's session.
The American light WTI crude oil fell $2.99, or 3.11 percent, to $93.22 a barrel.
Iraq's Oil Minister Hayan Abdel Ghani said oil shipments from the port of Ceyhan were expected to begin at 09:00 Bulgarian time today, state media reported.
According to oil industry officials, Iraq is aiming to export at least 100,000 barrels of crude per day through the port.
“The news has brought some relief to the market. Any additional volume that comes back to the market is valuable in the current situation, so prices have fallen to reflect that,“ said senior analyst at “London Stock Exchange Group“ (LSEG) An Pham.
Oil production from Iraq's main southern oil fields, where most of the country's crude is produced and exported, has fallen by 70 percent to just 1.3 million barrels per day, sources familiar with the matter told Reuters earlier in March.