Get more Mail & Guardian
Subscribe or Login

Oil soars to record above $117

Crude oil prices surged above $117, setting a new record high on Monday because of worries of supply disruptions from major producers and comments by the Organisation of the Petroleum Exporting Countries (Opec) reiterating there is no need to raise output.

United States light crude struck a record high of $117,40 a barrel. It was trading 43 cents higher at $117,12 by 8.45am GMT.

London Brent crude also struck its all-time peak of $114,65. It was trading at $114,37, up by 45 cents.

Opec sees no need to raise oil production to counter high oil prices, Opec’s president said on Sunday.

”No,” said Chakib Khelil, who is also Algeria’s Energy and Mines Minister, when asked by reporters whether Opec would raise production. He added that raising output would have no impact on prices as the market was well-supplied.

His remark came amid concerns over North Sea production due to an impending strike by workers at a refinery in Scotland and supplies from Nigeria, Africa’s largest oil exporter.

Scottish oil refinery Grangemouth has started to shut down ahead of a two-day strike later in April.

If the union goes ahead with the strike, it will effectively close down a part of the North Sea oil production and some gas output, refinery operator Ineos said in a statement on Saturday.

A Nigerian rebel group said on Friday it had sabotaged a major oil pipeline operated by Royal Dutch Shell and vowed to step up attacks on oil installations.

Officials at Shell, which is currently pumping 400 000 barrels per day below capacity in the Opec nation due to sabotage and security concerns, confirmed a small amount of production had been shut in.

”The spate of incidents has reminded the markets of the fragility of oil supplies,” said Sydney-based David Moore, a commodities analyst at the Commonwealth Bank of Australia. — Reuters

Subscribe for R500/year

Thanks for enjoying the Mail & Guardian, we’re proud of our 36 year history, throughout which we have delivered to readers the most important, unbiased stories in South Africa. Good journalism costs, though, and right from our very first edition we’ve relied on reader subscriptions to protect our independence.

Digital subscribers get access to all of our award-winning journalism, including premium features, as well as exclusive events, newsletters, webinars and the cryptic crossword. Click here to find out how to join them and get a 57% discount in your first year.

Related stories


If you’re reading this, you clearly have great taste

If you haven’t already, you can subscribe to the Mail & Guardian for less than the cost of a cup of coffee a week, and get more great reads.

Already a subscriber? Sign in here


Subscribers only

South Africa’s mothballed ‘supermall-ification’ sets strip malls up for success

Analysts agree that the country has enough malls and that, post-Covid, the convenience of local centres lure customers

Mabuza’s Russian jaunts and the slippery consequences of medical tourism

For more than five years the deputy president has remained steadfast in his right to travel abroad to receive medical treatment

More top stories

Deputy president Mabuza begs Tshwane voters: ‘Don’t abandon the ANC’

Angry Atteridgeville residents hurl insults at ‘dysfunctional’ ANC full of ‘corrupt individuals’ as Mabuza fails to placate them with party T-shirts and doeks

Taxi operators clash with cops over disputed Route B97 in...

Three suspects remain in custody following their arrest on charges of attempted murder and assault after eight taxis were impounded

SA teens, you’re next in the queue for a vaccine...

Teenagers between the ages of 12 and 17 will be able to register to receive their Covid-19 jab from 20 October. This group will be given only one dose of the Pfizer vaccine, for now

Former US secretary of state Colin Powell dies aged 84

The 84-year-old died as a result of complications from Covid-19

press releases

Loading latest Press Releases…