Picture used for illustrative purpose. File
Oil prices fell on Monday on the potential return of output from Libya as rising coronavirus cases also added to worries about global demand, although a tropical storm heading for the US Gulf of Mexico limited losses.
Brent crude was down 33 cents, or 0.8%, at $42.82 a barrel by 0645 GMT, while US crude was down 38 cents, or 0.9%, to $40.73 a barrel.
Workers at Libya's major Sharara field have restarted operations, two engineers working there said, after National Oil Corporation announced a partial lifting of force majeure. But it was still unclear when production might restart.
"The market can ill afford more crude hitting the market," ANZ analysts said in a note on Monday, at a time when coronavirus-related curbs have eroded demand.
More than 30.78 million people have been infected by the novel coronavirus and 954,843 have died globally, paralysing travel and business activity.
"It is hard to get excited about a pickup in crude demand as the virus is surging in France, Spain, and the UK, along with concerns the US appears poised for at least one more cycle in the fall and winter," said Edward Moya, senior market analyst at OANDA.
"Even if energy markets don't see Libyan production return or if hurricane season eases, oil prices can't shake off the dwindling demand outlook."
Meanwhile, Royal Dutch Shell Plc halted some oil production and began evacuating workers from a US Gulf of Mexico platform, the company said on Saturday.
Tropical Storm Beta was predicted to bring 1 foot (30 centimetres) of rain to parts of coastal Texas and Louisiana as the 23rd named storm of this year's Atlantic hurricane season moves ashore on Monday night, the National Hurricane Center said.
Oil and gas producers had been restarting their offshore operations over the weekend after being disrupted by Hurricane Sally. Some 17% of US Gulf of Mexico offshore oil production and nearly 13% of natural gas output went offline on Saturday in the face of Sally's waves and winds.
US West Texas Intermediate (WTI) crude futures were trading up 14 cents, or 0.4%, at $37.47 a barrel by around 0629 GMT. Brent crude was 6 cents, or 0.2%, higher at $39.89 a barrel.
Brent crude rose 85 cents, or 2.1%, to $41.38 a barrel by 0645 GMT, while US crude rose 92 cents, or 2.4%, to $39.20. Both contracts rose by more than 2% on Tuesday.
Brent crude was down 4 cents at $41.90 a barrel by 0635 GMT, while US West Texas Intermediate (WTI) crude dropped 8 cents to $40.23.
The UAE non-oil trade volume could grow by up to 12.9% year-over-year in 2021, supported by an expected uptick in maritime transport activity and other positive global economic trends,
Dubai Electricity and Water Authority (Dewa) has completed 87.73 per cent of its project to extend its water transmission network by 36 kilometres across Dubai, at a total cost of about Dhs256 million.
The State Bank of Pakistan (SBP) has announced its bi-monthly monetary policy on Friday and decided to maintain its policy rate at 7 per cent, according to a statement issued by the bank.