Oil prices continued to rise due to expectations of a decrease in supplies from the United States

Oil prices, which are at their highs since January 2020, continue to rise on Tuesday due to signals of a decrease in production and refining in the United States, Interfax reports.

Severe frosts have damaged the Texas power supply system and led to power outages, Bloomberg reports. The problem extends to other states in the central United States.

In these conditions, some of the major oil production facilities in the United States were suspended. According to Energy Aspects, the total suspended capacity is over 3 million barrels per day (bpd).

Due to cold weather, oil production in the Permian basin fell by about 1 million bpd, according to estimates of oil traders and industry representatives.

The cost of April futures for Brent oil on the London ICE Futures exchange by 7:15 a.m. Kyiv time on Tuesday amounted to $63.53 per barrel, which is $0.23 (0.36%) higher than the price at the close of the previous session. As a result of trading on February 15, these contracts rose by $0.87 (1.39%) up to $63.3 per barrel.

Tags: oil, USA, heating season, price, petroleum products, infrastructure, oil companies, economy

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