Oil Slips as Markets Weigh Supply Prospects

PUKMEDIA

Oil prices.

Oil prices fell on Tuesday on expectations of ample global supply amid weak demand, and as the market weighed the prospect of higher Venezuelan crude output following the U.S. capture of President Nicolas Maduro.

According to Reuters, Brent crude futures fell 0.2%, or 14 cents, to $61.62 a barrel by 0450 GMT while U.S. West Texas Intermediate crude was at $58.13 a barrel, down 0.3% or 19 cents.

Price pressure could be exacerbated by the U.S. capture of Venezuela's leader on Saturday, increasing the chance of an end to a U.S. embargo on Venezuelan oil and potentially leading to higher output.

Venezuela is a founding member of the Organization of the Petroleum Exporting Countries and has the world's largest oil reserves at about 303 billion barrels. However, its oil sector has long been in decline due in part to under-investment and U.S. sanctions.



PUKMEDIA