Oil dips as Saudi Arabia pledges to play 'responsible role' in market

By  Trend

Oil prices dipped on Tuesday after Saudi Arabia pledged to play a “responsible role” in energy markets, although sentiment remained nervous in the run-up to U.S. sanctions against Iran’s crude exports that start next month, Reutersreports.

Front-month Brent crude oil futures LCOc1 were at $79.62 a barrel at 0427 GMT, down 21 cents, or 0.3 percent, from their last close.

U.S. West Texas Intermediate (WTI) crude futures CLc1 were at $69.26 a barrel, dropping 10 cents from their last settlement.

U.S. sanctions against Iran’s oil exports are due to kick off on Nov. 4.

Top crude oil exporter Saudi Arabia has pledged to keep markets supplied despite its increasing isolation over the killing of Saudi journalist Jamal Khashoggi.

There has been concern that just as markets tighten with the start of the U.S. sanctions against Iran, Saudi Arabia could cut crude supply in retaliation for potential sanctions against it over the Khashoggi killing.

Trying to dismiss such worries, Saudi Energy Minister Khalid al-Falih said that “there is no intention” for such action, and that Saudi Arabia would play a “constructive and responsible role” in world energy markets.