West Texas Intermediate (WTI) crude remains near a two-month low, trading at $68.70 per barrel during Asian market hours on Thursday, after hitting $68.29 on February 26. Oil prices continue to face downward pressure due to expectations of increased supply and a subdued demand outlook.
The potential for a Russia-Ukraine peace agreement has also weighed on prices, as the easing of Russian sanctions could contribute to a higher global oil supply. Additionally, economic concerns, including fears that tariffs imposed by former U.S. President Donald Trump on China and other trading partners could weaken demand, are adding to the headwinds.
In a related development, the U.S. and Ukraine have reportedly agreed on a draft minerals deal crucial to Kyiv’s efforts to secure Washington’s support. According to sources cited by Reuters on Tuesday, Trump is pushing for a swift resolution to the conflict with Russia.
Meanwhile, President Trump announced on Wednesday plans to revoke Chevron Corp.’s oil license in Venezuela. Venezuelan Vice President Delcy Rodriguez condemned the decision, calling it “damaging and inexplicable,” according to Reuters.
In Iraq, the Kurdistan Regional Government has reached an agreement with the federal oil ministry to resume Kurdish crude exports based on available volumes. However, the restart remains contingent on Turkey’s approval. The pipeline has been shut since March 2023 after an International Chamber of Commerce (ICC) ruling ordered Turkey to pay Baghdad $1.5 billion in damages for unauthorized exports between 2014 and 2018.
