Crude oil prices fell for the third consecutive day amid low trading after the geopolitical situation in the Middle East signaling softening, the rising US commercial crude oil reserves this week, and the record United States crude oil production at 12.9 MMBD.
US House of Representatives passed the resolution (224-194) of limiting the US President Donald Trump's military action against Iran, prior to the approval by Congress. The resolution took place after Democrat Party members expressed frustration over President Donald Trump for not informing the Congress before the assassination of Iran's General Qasem Soleimani.
Ministry of Natural Resources of China announced the allowance of the exploration and mining rights for foreign and private petroleum exploration and production companies which have a registered amount of not less than RMB 300 million (US$ 43 million) in China for the first time effecting from May 1, 2020 to promote and provide domestic energy.
Nigerian Petroleum Resources Minister, Timipre Sylva said that the conflict between the United States and Iran will be able to resolved, and he is satisfied with the oil price level of US$ 70 per barrel.
As sailing through the Persian Gulf and the Strait Hormuz is at risk, Lloyd's Joint War Committee Market Association is considering increasing war risk premium which may result in a decrease in the supply of shipping vessels. According to the announcement of Brazil's national oil company, Petrobras, it is now avoiding shipping oil through the Strait of Hormuz and refueling of the ship at Fujairah after the geopolitical situation in the Middle East was tense due to the assassination incident of Iran’s General Qasem Soleimani.
