Global oil prices have fallen to their lowest level in two months amid rising oil production in the Middle East and easing tensions between Iran and the United States.
“Operative Information Center-OMM” reports that Brent crude has fallen to around $91 a barrel, while Light crude is trading at $85 a barrel.
Although the price of Brent, the global oil benchmark, has risen by more than 50% this year, it fell sharply in November. The decline has been driven by the resumption of oil supplies from the Middle East and expectations that the Democratic Party’s victory in the U.S. midterm elections could accelerate the end of the conflict with Iran, which is entering its ninth month.
Saudi Arabia, the world’s largest crude oil exporter, told the Organization of the Petroleum Exporting Countries (OPEC) that its oil production rose 26% in October, reaching one of its highest monthly levels in recent years. Iraq also said its oil output had risen to a wartime record.
Despite relative calm in the region, there are no signs of concrete progress toward ending the conflict.
Iranian Supreme National Security Council Secretary Mohsen Rezaei told Al Mayadeen television that Iran would not agree to “even a single atom” of enriched nuclear material being removed from the country.
The removal of nuclear material from Iran is one of the key preconditions the United States has set for beginning negotiations.
