Crude oil prices increased on Tuesday after a two-day decline as some production in the US Gulf of Mexico remained shut due to Hurricane Ida in late August. Crude futures in New York approached $71 per barrel after dropping more than 3% in the past two sessions. Industry experts estimated US crude stocks to have decreased by over 3 million barrels in the week ended September 17.
Royal Dutch Shell said two of its largest platforms in the US Gulf of Mexico would unlikely resume production until 2022 due to storm damages. Investors also expect the ongoing global gas crunch to boost oil demand. Market participants estimated the outage could disrupt about 300,000 bpd of output capacity in the Gulf.
Brent for November delivery rose by 0.7% to $74.43 per barrel on Tuesday on the ICE Futures Europe exchange after falling 1.9% on the previous day. US WTI for October delivery gained 0.8% to $70.85 per barrel, while the November contract increased by 0.8% to $70.69 per barrel as of 8:18 AM in Singapore.
