WTI on two months high amid OPEC’s supply unchanged

WTI rose to two months high at the level of $98.91 per barrel today, amid the decision of OPEC to keep the daily production on the same level during 2014. The Organization of Petroleum Exporting Countries, which provides about 40% of the world’s oil, rejected the possibility of a supply glut next year, ministers from Saudi Arabia, Iraq and Kuwait said after a gathering of Arab crude exporters in Doha. OPEC’s 12 members agreed at a meeting on December 4 to keep their production target unchanged at 30 million barrels a day.

Regarding to the African oil, Libya and Sudan oil will not be at that much to meet global demand, the evacuation in South Sudan is temporary and oil output in the state of Upper Nile is flowing normally. The landlocked nation has sub-Saharan Africa’s third-largest oil reserves after Nigeria and Angola, according to the BP Statistical Review. It has a capacity to export about 220,000 barrels of a day through pipelines across neighboring Sudan. Libya will resort to force if necessary to reopen export terminals that have been closed by protesters. The nation, which holds Africa’s largest crude reserves, is producing 250,000 barrels a day, he said. That’s down from 1.43 million barrels a day in December 2012, data compiled by Bloomberg show.