Global oil prices fell below $100 per barrel as Saudi Arabia prepared to reactivate its East-West pipeline and the United States reported progress in talks with Iran. The drop extended a continuous five-day slide across energy markets, though prices remain up 60 percent year-to-date following six months of conflict in the Middle East.
Pipeline reopening eases shipping disruption
Brent crude dropped to $99.25 per barrel at 09:09 Singapore time. West Texas Intermediate fell 0.3 percent to trade at $90.27 per barrel. Oil prices dropped.
The return of the East-West pipeline, which has a transport capacity of 7 million barrels per day, offers Saudi Arabia an alternative route to export crude while bypassing the Strait of Hormuz, where regional conflict has interrupted tanker shipments and stoked global energy costs along with broader inflation. An attack damaged the pipeline infrastructure earlier this month.
Diplomatic movement with Iran
Regional tensions have involved multiple actors and neighboring states including Syria, Iraq, Jordan, and Turkey, as well as the Houthi movement and the six members of the Gulf Cooperation Council, while international discussions also engaged the United Nations. Former US officials Donald Trump and Jared Kushner have maintained focus on regional developments during the hostilities.
US Special Envoy Steve Witkoff confirmed progress in mediated diplomatic exchanges between Washington and Tehran. “We engaged in lengthy talks with the Iranian delegation through mediators,” Witkoff said. Witkoff noted progress. “They completed a round of discussions that we hope will yield constructive and promising results.”
Related: Saudi Arabia resumes East-West crude pipeline flows · Oil tops $107 after Saudi East-West pipeline halt
Source: Saudi Arabia
