The Canadian Press - ONLINE EDITION

Oil stays steady as Iraq turmoil intensifies, though most crude exports seen safe for now

  • Print

The price of oil finished marginally lower Monday as fears of widening instability in Iraq, a key energy producer, were tempered by views that its oil exports would not be affected for now.

Benchmark West Texas Intermediate crude for July delivery closed down one cent at US$106.90 a barrel on the New York Mercantile Exchange after having risen as high as US$107.54.

Brent crude, a benchmark for international oils, gained 48 cents to US$112.94 a barrel on the ICE Futures exchange in London.

The northern town of Tal Afar became the latest to fall to the militants, who have already captured a vast swath of territory including Iraq's second-largest city, Mosul. The militants vow to march on Baghdad.

The capture of Mosul, a crucial gateway for Iraq's crude, raised worries about whether the country can rebuild its energy infrastructure and boost production to meet global demand, but most of Iraq's oil exports appeared to be beyond the militants' reach.

"Oil production in the south of the country is still secure," said analysts at Commerzbank in Frankfurt in a note to clients, pointing out that around 90 per cent of Iraq's oil exports of 2.5 million barrels a day were shipped from there.

Jim Ritterbusch, president of energy consultancy Ritterbusch and Associates, said in a note to clients that the market will keep a "risk premium" of $3 to $4 a barrel in the price of oil as it watches the situation in Iraq play out.

In other energy futures trading in New York, wholesale gasoline rose one cent to US$3.07 a U.S. gallon (3.79 litres), heating oil gained one cent to US$3 a gallon and natural gas added three cents to US$4.71 per 1,000 cubic feet.

(TSX:ECA), (TSX:IMO), (TSX:SU), (TSX:HSE), (NYSE:BP), (NYSE:COP), (NYSE:XOM), (NYSE:CVX), (TSX:CNQ), (TSX:TLM), (TSX:COS), (TSX:CVE)

Fact Check

Fact Check

Have you found an error, or know of something we’ve missed in one of our stories?
Please use the form below and let us know.

* Required
  • Please post the headline of the story or the title of the video with the error.

  • Please post exactly what was wrong with the story.

  • Please indicate your source for the correct information.

  • Yes

    No

  • This will only be used to contact you if we have a question about your submission, it will not be used to identify you or be published.

  • Cancel

Having problems with the form?

Contact Us Directly
  • Print

You can comment on most stories on winnipegfreepress.com. You can also agree or disagree with other comments. All you need to do is be a Winnipeg Free Press print or e-edition subscriber to join the conversation and give your feedback.

You can comment on most stories on winnipegfreepress.com. You can also agree or disagree with other comments. All you need to do is be a Winnipeg Free Press print or e-edition subscriber to join the conversation and give your feedback.

Have Your Say

New to commenting? Check out our Frequently Asked Questions.

Have Your Say

Comments are open to Winnipeg Free Press print or e-edition subscribers only. why?

Have Your Say

Comments are open to Winnipeg Free Press Subscribers only. why?

The Winnipeg Free Press does not necessarily endorse any of the views posted. By submitting your comment, you agree to our Terms and Conditions. These terms were revised effective April 16, 2010.

letters

Make text: Larger | Smaller

LATEST VIDEO

The greening of Elphaba the Wicked Witch in Wicked

View more like this

Photo Store Gallery

  • June 25, 2013 - 130625  -  A storm lit up Winnipeg Tuesday, June 25, 2013. John Woods / Winnipeg Free Press - lightning
  • Ruth Bonneville Winnipeg Free Press January 18, 2011 Local Standup -

View More Gallery Photos

Poll

Does Canada need a national inquiry into the disproportionately high number of missing and murdered aboriginal women?

View Results

View Related Story

Ads by Google