NEW YORK: Global crude oil prices have recorded a notable decline, driven by reports of potential negotiations between the United States and Iran, raising expectations of improved geopolitical stability and increased supply.
According to market reports, the price of British crude oil dropped by around 4 percent to settle near $110 per barrel, while US crude also declined by a similar margin to approximately $102 per barrel. Meanwhile, Murban crude from Abu Dhabi fell by about 2 percent to $105 per barrel. Global gas prices have also seen a decrease of nearly 4 percent.
In a parallel development, Iraq has announced significant discounts on its crude oil exports in a bid to boost sales. As the second-largest producer in OPEC, Iraq’s move is seen as a strategic effort to remain competitive in a softening market.
According to the Iraqi State Organization for Marketing of Oil (SOMO), Basra Medium crude scheduled for early May loading is being offered at discounts of up to $33.40 per barrel, while shipments between May 11 and 31 are discounted by $26 per barrel. Basra Heavy crude is also being sold at reduced rates, with prices lowered by around $30 per barrel for May deliveries.
Analysts say the downward trend in prices reflects expectations of increased global supply and easing political tensions. If sustained, the decline could provide relief to energy-importing economies and contribute positively to broader global economic stability.
