Oil settles higher, gains for second week

Oil drilling rigs

Oil settled higher on Friday, recording gains for the second straight week as markets evaluate Saudi Arabia and Russia’s decisions to extends voluntary oil cuts until the December.

Russia is set to cut its diesel exports from ports on the Baltic Sea and Black Sea by 25% month-on-month in September to 1.87 million tons, or 466,000 barrels per day, the lowest level since May 2023.

Russia is shipping its first crude oil cargo to Brazil, as it seeks to diversify its list of buyers, which has been drastically limited by US and EU sanctions. The tanker loaded about 650,000 barrels from Murmansk on Aug. 22 and briefly showed destination of Madre De Deus.

The US oil rigs rose by one to 513 in the week ended Sept. 8, the first rise in three months, General Electric Co.’s Baker Hughes energy services firm said in its closely followed report on Friday.

Brent crude for November delivery rose 0.8%, or 73 cents, to $90.65 a barrel, gaining 2.35% this week.

WTI contracts for October delivery edged up 0.75%, or 64 cents, to $87.51 a barrel, posting a weekly rise of 2.3%.