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KUWAIT CITY, March 3: Price of the Kuwaiti crude oil has remained well above the 100-point threshold, amid global turbulence caused by the ongoing Russia-Ukraine crisis. In a statement early on Thursday, Kuwait Petroleum Corporation (KPC), the umbrella of the Kuwaiti oil companies, said in a statement that the Kuwait oil price rose, further for the second day in a row, by USD 10.65 to hit as high as USD 112.96 per barrel (pb) on Wednesday, compared to USD 102.31 pb the day before.
Meanwhile, in international markets, forward contracts of the Brent crude rose by USD 7.96 to USD 112.93 pb, while identical deals for the West Texas Intermediate crude followed suit, climbing by USD 7.19 to hit USD 110.60 pb. On Wednesday, the KPC said the Kuwaiti oil went up by USD 4.18 to USD 102.31 pb on Tuesday as opposed to USD 98.13 pb on Monday. During the same period, prices of the Brent crude and West Texas Intermediate also made a gigantic jump by USD 7 and USD 7.69 respectively, putting both crudes at USD 104.97 per barrel and USD 103.41 pb. Rates of the Kuwaiti oil and crudes of other oil-producing countries have been soaring amid ripples of the Ukraine-Russia crisis that has also impacted other key sectors of global economies and businesses. On Wednesday in Vienna, the 26th OPEC and non-OPEC Ministerial virtual meeting concluded after examining oil market conditions in shadow of oil prices’ record hike. In a statement, the members noted, “current oil market fundamentals and the consensus on its outlook pointed to a well-balanced market, and that current volatility is not caused by changes in market fundamentals, but by current geopolitical developments.”
The statement added, “the OPEC and participating non-OPEC oil-producing countries decided to reaffirm the decision of the 10th Ministerial Meeting on 12 April 2020, and further endorsed in subsequent meetings including the 19th Ministerial Meeting on 18 July 2021.” “Reconfirm the production adjustment plan and the monthly production adjustment mechanism approved at the 19th Ministerial Meeting and the decision to adjust upward the monthly overall production by 0.4 mb/d for the month of April 2022, as per the attached schedule,” the statement said. “Reiterate the critical importance of adhering to full conformity and to the compensation mechanism taking advantage of the extension of the compensation period until the end of June 2022,” the statement added. “Compensation plans should be submitted in accordance with the statement of the 15th Ministerial Meeting,” the statement noted, adding members will “hold the 27th OPEC and non-OPEC Ministerial Meeting on 31 March 2022,” the statement concluded. (KUNA)