Oil price falls as production increases and COP28 calls for faster transition away from fossil fuels

by time news

Oil fell to its lowest level in five months as signs of robust supplies accumulate.

West Texas Intermediate fell 3.46% on Tuesday to fall below $69 per barrel, the lowest level since late June. Brent oil, the international benchmark, closed the day with a drop of 3.34%, falling below US$74 per barrel.

Crude oil has fallen for seven consecutive weeks, and even new production cuts by OPEC+ and its allies have failed to stop the slide.

Prices continued to be weighed down by new signs that supply remains ample. Russia’s weekly average crude oil exports jumped to the highest level since early July, and a U.S. government agency revised the country’s oil production this year by more than 30,000 barrels per day from its projection. from last month.

At the same time, COP28 climate negotiators in Dubai met on Wednesday morning on a draft agreement that calls on nations to quickly transition away from fossil fuels as they approach the end of talks. aimed at avoiding the worst consequences of global warming.

The draft COP28 agreement would call on countries to begin “the transition away from fossil fuels in our energy systems, starting this decade, in a fair, orderly and equitable manner, in order to reach net zero by 2050, according to the science”.

Oil is recording its longest run of weekly losses since 2018 and is down by more than a quarter from this year’s peak, recorded in late September.

By Economic Editor
Angola Portal

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