Oil prices rise as Iranian crude exports decline

LONDON (Reuters) – Oil prices rose on Tuesday as new evidence showed that exports of Iran's third largest crude oil producer, OPEC, were declining ahead of the imposition of new US sanctions. a hurricane was crossing the Gulf of Mexico.

Brent benchmark rose 55 cents to 84.46 dollars a barrel at 7:30 GMT, after falling to 82.66 dollars Monday. Brent hit a record $ 86.74 last week, its highest level in four years.

US light crude rose 45 cents to $ 74.74.

Iran's crude oil exports fell further in the first week of October, according to data provided by oil companies and an industrial source, as buyers seek alternatives before US sanctions come in. in force on 4 November.

The Islamic Republic exported 1.1 million barrels a day (bar / d) of crude over this seven-day period, according to data from Refinitiv Eikon. An industry source that also tracks exports said deliveries for October were up to less than 1 million bpd.

This represents a drop of at least 2.5 million bpd in April, before President Donald Trump in May withdraws the United States from a 2015 nuclear deal with the United States. Iran and imposes new sanctions. This figure also marks a further decline from 1.6 million bpd in September.

Saudi Arabia, the largest producer in the Organization of Petroleum Exporting Countries, announced last week that it will increase crude output next month to 10.7 million bpd, a record high.

"Iran's barrels are falling rapidly and Saudi Arabia's promise of balance will be a reality," said a JP Morgan analyst.

Iran's Oil Minister Bijan Zanganeh on Monday called a Saudi claim that the kingdom could replace Iran's crude exports.

Meanwhile, oil companies operating in the Gulf of Mexico have halted nearly 20% of their oil production while Hurricane Michael has shifted to the eastern Gulf states, whose Florida.

Forecasters predicted that the storm would become a Category 3 hurricane with sustained winds ranging from 178 km / h to 208 km / h (111 to 129 mph) and cause rough seas in the production areas.

If the forecast was accurate, the hurricane would be largely absent from the Gulf's main oil assets, analysts said, but a change in course could increase its impact.

The International Monetary Fund on Tuesday lowered its global economic growth forecast for 2018 and 2019, noting that trade tensions and rising import tariffs weighed heavily on trade, while emerging markets were plagued. financial difficulties and larger capital flows.