Browsing: oil price

  • Russia is the world’s third-largest oil producer behind the United States and Saudi Arabia, and the world’s largest exporter to world markets
  • The price of Brent crude has spiked US$110/bl, which points towards an over 80 per cent jump in 12 months and the highest level in eight years
  • Despite having oil reserves, African oil imports are significant in most countries even oil-producing nations

The Russia-Ukraine war is on its tenth day and it is terrible for everyone.

African governments, think tanks and energy organizations posit that sanctions against Russia pose a danger to African economies importing oil—which is by far the region’s biggest imported product.

Russia is the world’s third-largest oil producer behind the United States and Saudi Arabia, and it’s the world’s largest exporter of oil to global markets and the second-largest crude oil exporter behind Saudi Arabia.

Read: Ukrainian businesses thriving in Africa despite racist treatment

Last week we saw negative oil prices hurt energy markets enormously, and we have the global pandemic—coronavirus (COVID-19) to blame for that, as nearly the entire globe is on lockdown, that sucks the life out of energy-consuming spheres.

Reports indicate mixed feelings as Bloomberg noted that, oil prices could go down again, as storage shortage becomes another nagging factor to the problem, and yet—we have seen people paying to get rid of their stock.

“The last trade of the May WTI futures was on April 21, and on April 20, as financial traders with long positions scrambled to get out of the contract, the price fell to negative $37.63 per barrel. Then on April 21, it was fine again, and the contract finished at $10.01. Even on April 20th, most trades in the May futures happened at positive prices. But toward the end of the day, panic—or something—set in, …

The world recorded another day in history —April 20, as the day oil prices globally took a negative dive, dropping below zero for the first time. International players in the hydrocarbon game have not shaken, as traders and nations pursued storage space and determining ways to drive demand scarcity.

According to reports from Bloomberg News, the oil price rise was manifested by both, pandemic fears and the price war between Saudi Arabia, Russia and the US, which affected the energy markets and traders.

As the pandemic escalates, the umbrellas of lockdowns have annihilated significant demand for oil, and other economic gains associated. Hence—the price war broke and intensified, as Bloomberg report said “  Saudi Arabia and Russia, the world’s biggest oil producers, escalated the price war. A pact that had restrained production collapsed and both countries opened their taps to the fullest, releasing record volumes of crude into the …