Oil prices sank in the international market this Wednesday, after four consecutive sessions of gains due to the war in ukraine.
The inapplicability of an embargo on Russian oil in the European Union, the diplomatic opening to resolve the war conflict and a request to increase the production of crude oil from the United Arab Emirates to the Organization of the Petroleum Exporting Countries (OPEC) led to the decline of the benchmark crude oils in the world market.
Thus, the barrel of West Texas Intermediate (WTI), benchmark crude for America, sank up to 12.01% at the end of the session to settle at US$ 108.70; while Brent del Mar crude lost 13.16% to US$ 111.14. Consequently, both prices erased the peaks reached on Tuesday, when the United States and the United Kingdom vetoed imports of Russian oil.
For the economist Eduardo Recoba, this correction in the cost of fuel is only momentary.
“The trend will not be downwards, rather the vocation will continue to be upwards, because the conflict will continue. These drops rather correspond to a technical and statistical rebound issue,” the expert told La República.
Venezuelan oil: technology and logistics
Venezuelan oil would be one step away from rejoining the US market if the talks that have been taking place between Washington and Caracas since last weekend prosper.
The White House He has said that rapprochement with the Chavista regime is aimed at the energy security of the North American nation.
The internationalist Miguel Rodríguez Mackay affirms that it should be USA the one that must put the factual and technological conditions so that the oil of Venezuela can enter the market.
“The process of refining Venezuelan oil is expensive, If the US looks at Venezuela, it should not only buy its oil, but also contribute to the modernization of its refineries”, the expert warned this newspaper.
Recoba noted that Venezuela’s challenge is not to fight against US trade sanctions, but to improve logistics for the distribution of crude oil from its ports.
Indeed, Diego Camacho, international economist at Credicorp Capital, assured that Venezuela’s production is below 450,000 barrels per day and that, added to the quality of the fuel, the results would be seen in the next 18 or 24 months.
“They are not useful (extracted oils) for the refining processes that the US would be interested in. The bet of greater production would take, in the best of cases, a year and a half or two years”, he specified.
They speed up supplies
The Secretary of Energy of the United States, Jennifer Granholm, urged oil companies on Wednesday to increase the supply of crude oil in the face of the emergency that exists due to the Russian invasion of Ukraine.
Today the CPI in the US will be known, the figure would climb to 7.8% per year; “which will determine that the FED will increase the reference rate by up to 0.25 points”, said Camacho.
Source: Larepublica
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