Earthquake in Turkey triggered a rise in oil prices

SAFAKNA TURKEY- Oil prices rose for the second day in a row on Tuesday amid optimism about improving demand in China and concerns about a lack of supply after the closure of a major export terminal after an earthquake in Turkey.

According to the Shafaqna report, the price of Brent oil rose by 82 cents, amounting to 1.01%, to $81.81 per barrel. West Texas Intermediate (WTI) oil prices rose 82 cents, equivalent to 1.11%, to $74.93 per barrel. Brent oil closed up 1.3% last night, while the US oil index rose 1%.

According to Edward Moya, senior market analyst at OANDA, oil prices rose on expectations of a continued recovery in China and reduced supplies due to the devastating earthquake in Turkey.

The International Energy Agency expects China to account for half of the growth in global oil demand this year. Fatih Birol, director of this agency, drew attention to the growing demand for jet fuel in China.

Saudi Arabia, the world’s largest oil exporter, raised its official selling price for oil to Asian buyers for the first time in six months in light of growing demand expectations, especially in China.

The operation of the Ceyhan Oil Export Terminal, with a daily loading capacity of 1 million barrels, was halted after a major earthquake hit the region. The BTC terminal, through which Azerbaijani oil is exported to international markets, will be closed from February 6-8.

Azerbaijan uses the Turkish port of Ceyhan as its main oil export hub, with a flow of about 650,000 barrels per day. British Petroleum Azerbaijan reported that a small oil spill was discovered in Ceyhan, which led to the suspension of its activities. “Ceyhan and Azerbaijan have enough capacity to store oil,” an insider in Azerbaijan told Reuters, while another source said: “The flow of oil can be reduced if necessary.”


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