Oil rises as Saudi pledges to restore production

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Oil prices edged higher in Asian trade on Thursday as Saudi Arabia’s pledged to restore full production by end-September at facilities knocked out in drone and missile attacks last weekend.

Brent crude futures rose 24 cents to 63.84 dollars a barrel by 0634 GMT, while U.S. West Texas Intermediate (WTI) crude was up 21 cents to 58.32 dollars a barrel.

The steadying of nerves came after Saudi Arabia set out the timeline to resume full operations, and also said it had managed to restore supplies to customers at levels prior to the attacks by drawing from its oil inventories.

Brent prices had jumped 14.6 per cent on Monday, the contract’s biggest one-day percentage gain since at 1988.

It would be recalled that crude oil stockpiles at the world’s largest oil producer rose by 1.1 million barrels last week against analysts’ expectations for a drop of 2.5 million barrels.

Peace PIAK